Optimizing the supply chain is crucial for future growth

Digitalization has been designated as a "must-win battle" in Eldorado's future strategy. This includes a quantum leap in terms of ERP, transitioning from the current AX 2009 to Microsoft Dynamics 365 Supply Chain, reinforced by a range of Axcite custom modules.

"The goal is to meet all customer requirements for our digital setup and achieve 10% annual growth," says CEO Per Lausen.

Digitalization has been designated as a "must-win battle" in Eldorado's future strategy. This includes a quantum leap in terms of ERP, transitioning from the current AX 2009 to Microsoft Dynamics 365 Supply Chain, reinforced by a range of Axcite custom modules.

"The goal is to meet all customer requirements for our digital setup and achieve 10% annual growth," says CEO Per Lausen.

CEO of a leading Nordic B2B trading company: 

"Optimization of the supply chain is crucial for the success of our growth strategy." 

Digitalization has been designated as a "Must win battle" in Eldorado's strategy until 2025. The battle is underway on several fronts: a quantum leap is being made from AX 2009 to Microsoft Dynamics 365 Supply Chain, reinforced by special modules. At the same time, the e-commerce solution is being upgraded, and a new PIM system is being introduced. 

"We are transitioning from being too analog to becoming significantly more digital. The goal is to meet all customer requirements for our digital setup and ensure a 10 percent annual growth," says CEO Per Lausen. 

He is the second generation in the family-owned company, which started as a pet shop in Haderslev in 1963. Today, Eldorado is one of the leading Nordic sourcing and service companies for pet, horse, and rider articles, with 35,000 items in its assortment. 

Bredana Axcite has been chosen as the partner for ERP. This is due in no small part to Bredana Axcite's specialization in B2B trade and supply chain. 

"There is no doubt that our supply chain is crucial for our success," says Per Lausen. 

However, industry focus is not the only reason for choosing Bredana Axcite. The individual consultants' business understanding, deep knowledge, and experience in the field also play a major role: 

"We checked some references for Bredana Axcite, and so far, my impression has been confirmed; the consultants have had an understanding of our business from the start. We speak on an equal footing, and they manage to challenge us," says Per Lausen. 

Eldorado was established as a family-owned business in 1963 and remains owner-led today with the second generation at the helm, led by son Per Lausen and daughter Pernille Lausen.

The partners take responsibility

In the summer of 2023, the agile implementation is in full swing, and a relatively fast development process with expected operations in April 2024 has been agreed upon. 

Up until now, Eldorado has been a customer of a very large ERP vendor and also a smaller one. The experiences from these have been mixed, and there is no doubt that Per Lausen now sets significantly higher requirements for his business partner: 

"It's really nice to have a supplier that moves quickly," says Per Lausen, highlighting the importance of Bredana Axcite being partner-driven. 

"Partners from Bredana Axcite are present at our meetings and take responsibility for making things work. We are on the same side!" says Per Lausen. 

This is something he has not experienced before, where Eldorado has felt "tossed around in the ring." 

"We have had to follow up on many things ourselves. Now it is my expectation and experience in the collaboration with Bredana Axcite that the responsibility for follow-up lies with the vendor. 

But the customer also has to "deliver"... 

"We have a really good collaboration on the project, where we are given assignments and need to be prepared for our meetings. The output we expect will only be as good as the input we provide," says Per Lausen. 

Bredana Axcite possesses extensive expertise in B2B commerce and supply chain. Picking is optimized through the integration between Kardex automated storage and retrieval systems and Dynamics 365 Supply Chain.

This brings great satisfaction to warehouse employee Benny Clausen and his colleagues.

The consultants are good at engaging with our employees

Udvikling og implementering af Dynamics 365 Supply Chain er en gennemgribende forandringsproces for Eldorados medarbejdere. Eldorado går fra en meget tilrettet løsning til fortrinsvis standard funktionalitet, og der udvikles kun specielle løsninger, hvis det giver fordele og værdi i forhold til Eldorados kerneforretning.

”Standard er en game changer, og der ligger en stor ledelsesmæssig opgave i, at medarbejdernes hverdag forandres,” siger Per Lausen.

”Det handler om at opnå forståelse af, at man ikke skal arbejde mere - men anderledes, og jeg oplever, at konsulenterne fra Bredana Axcite får talt ind til vores medarbejdere og fortæller dem, hvor ufarligt det er,” siger Per Lausen.

Han glæder sig over, at det lykkes:

”Jeg hører på vandrørene, at medarbejderne får en tro på, at det nok skal blive godt.”

Når løsningen er implementeret, bliver det langt mere intuitivt at være bruger. Og det er noget, Per Lausen ser frem til:

”Vores gamle løsning var blevet så rodet og kompleks, så det nærmest krævede en Ph.D. i IT at arbejde med den. Vi havde fået lavet mange lappeløsninger. Nu bliver det langt nemmere for alle – og lettere at onboarde nye medarbejdere,” siger Per Lausen.

"Bredana Axcite's partners are personally present in our meetings and actively contribute to making things succeed."

"We are on the same page!"

Per Lausen, CEO of Eldorado.

Meeting with a new customer was an eye-opener 

But what actually triggered the decision to invest in a completely new ERP platform?

Eldorado had not been stagnant in terms of digitalization. The otherwise traditional wholesale business started a B2B webshop already 10 years ago, and up to 70 percent of the revenue is now generated online. Pick-by-voice technology is used in the warehouse.

An upgrade of the ERP had already been considered five years ago, but at that time, they decided to continue with AX 2009.

The decisive turning point, the eye-opener, was a meeting with a new customer who sells their products through a B2C webshop.

"We were simply told by the customer that we couldn't meet their requirements for digital collaboration," says Per Lausen.

"So we went home and tried to patch things together. But it couldn't solve the problem."

From that moment on, it became clear that Eldorado's continued growth in new markets and with new types of customers was heavily dependent on data. Thus, ERP and e-commerce solutions moved from being mere tools to becoming part of the company's strategy and business foundation.

And now the bow is being drawn tight with the simultaneous implementation of the new ERP, PIM, and upgraded e-commerce solution.

"The digital aspect becomes a competitive parameter for new customers, and right now, we are on a journey from B2B to B2C in new markets, initially in Germany and Austria," says Per Lausen.

Significant potential in optimizing the supply chain With 35,000 items, 150 suppliers, and procurement from the East with long transport times, logistics is quite a puzzle. If the pieces are put together correctly, it becomes a beautiful and valuable picture.

Bredana Axcite works deep down in the engine room, adjusting the parameters that together constitute significant potential for improvements.

"One of our pain points is slow-moving goods. Previously, we didn't have tools to manage them, but now we do. We need to offer a broad and deep assortment while minimizing weaknesses by focusing more on the individual product life cycle," says Per Lausen.

There is also a focus on several warehouse functions, especially optimizing the picking process in general and picking from Kardex storage machines. Rule-based picking will replace the heavy manual sorting, and delivery performance will be improved through better availability management.

The utilization of warehouse space is optimized by classifying all items based on their turnover rate. Goods receiving control and FIFO (First-In, First-Out) principles are introduced.

Inventory management is optimized through more accurate forecasting.

Automation is a theme in handling sales orders, backorders, campaign labeling, approval of purchase invoices, and inventory management.

Additionally, Eldorado will have access to a range of powerful statistical and business intelligence (BI) tools that support important decision-making

"We speak on equal terms, and they are able to challenge us," says CEO Per Lausen of Eldorado, pictured here with CCO Mona Trapp of Bredana Axcite.

A true entrepreneurial adventure

In 1963, Børge and Birgit Lausen opened a pet shop in Haderslev called Eldorado, laying the foundation for a genuine Jutland-style entrepreneurial adventure!

Over the next 10 years, they opened eight more stores in Jutland and Funen and started importing their own products, initially focusing on birds and fish.

A trip to the East gave them the idea to import pet-related articles, and they made the switch to wholesale trade. In the mid-80s, they closed their last retail store.

The wholesale business continued to grow, and Børge Lausen also started producing aquariums and store fixtures at the AkvaStabil factory for pet stores. These products are sold in approximately 40 countries.

Equipment for horses and riders was added in the mid-90s, and Børge Lausen also took over e-Vet, a supplier of equipment to veterinarians and animal hospitals, among others. It has since been sold.

In 2008, Børge Lausen went on "senior retirement" and handed over the management to his son, Per Lausen. In 2013, his daughter, Pernille Lausen, joined the company as the head of the horse and rider equipment department. Four years ago, a larger equestrian equipment company was acquired.

Today, Eldorado has an annual turnover of approximately 400 million DKK. The company is a market leader in its field in Denmark and a leading player in Norway and Sweden, where Eldorado has had its own offices since 2017.

Eldorado employs a total of 120 employees.

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