CLASS!, Magnitogorsk, Russia

For over 50 years Magnitogorsk was a closed city under the USSR government. During this time the city was exclusively served by the state owned department store chain ‘Univermag’. In 1992 the company became a private organisation and set about to modernise it’s business operations including a name change to CLASS!.

Magnitogorsk lies on the banks of the River Ural, at the boundary where Europe and Asia meet in the Ural mountains and is three days train journey from Moscow. Magnitogorsk was founded in the 1930’s by pioneers sent to build what is today the largest steel making complex in the world employing 85,000 people. CLASS! still remains the largest retail operation in the city.

With the fast development of the retail market in Russia, Univermag chose Sandmar retail systems to implement a company wide operational computer system from cash management through to product re-supply. The implementation of Sandmar software commenced in 1995 and operates with RM6000 and POSXpress/Fiscal point of sale.

Sandmar software technology is now deployed in eight department stores / Supermarkets, a central warehouse, the merchandising organisation and throughout the head office function. CLASS! sell everything to meet the needs of the local community from food, cloths, electrical, basic essentials through to specialist needs such as bridal accessories.

With the shortage of banknotes in the city a key component of the system design was a direct link from Point of Sale to the bank. Sandmar developed with the assistance of the card clearing systems integrator ACI of the USA, software to operate with the locally produced debit cards issued by the Promstroy Bank.

CLASS! have not only invested in computers and software in their programme of reconstruction. Sandmar has provided management training programmes aimed at challenging managers to use the computer systems to create business information for decision making. Some 25 of the senior managers have undertaken a two year development programme.