KUWAIT CITY, Jan 20: The Ministry of Social Affairs has successfully implemented an automated system in cooperative societies, curbing financial waste and administrative violations while improving access to subsidized goods, officials said.

Dr. Sayed Issa, Acting Assistant Undersecretary for Financial and Administrative Affairs and Cooperative Affairs, and Director of the General Department of Planning and Administrative Development, revealed that completing the financial and administrative linkage phase with all cooperative societies has allowed the Ministry to identify loopholes, stop manipulations, and eliminate inefficiencies quickly.

“This unprecedented success resulting from the automation of the cooperative purchasing cycle will have broad positive repercussions on the decrease in prices of food and consumer goods sold within the cooperatives,” Issa said. “Directing wasted funds to support goods contributes to lowering prices, relieving many of the financial burdens on shareholders.”

He added that the reduction of waste also expands the circle of beneficiaries from the various social services offered by cooperatives and enables improvements in organizational and aesthetic aspects, including market branches, landscaping, afforestation, and cleanliness.

Issa explained that automation allows for faster and more accurate purchasing, identifies weaknesses in manual processes, and maps the entire local purchasing cycle. The system automatically creates purchase orders based on inventory levels, integrates with points of sale, and manages suppliers and their data.

“One of the key advantages is the digitization of supplier information, creating a central database that records supplied items, current prices, expected delivery times, and minimum order quantities,” he said. The system also establishes effective communication channels with suppliers.

The automated system allows cooperatives to track actual inventory, determine reorder points, and maintain additional stock to prevent shortages. Using RFID barcodes, the system monitors inventory levels and facilitates automated reordering for fast-moving items, generating purchase orders based on historical data.

Issa emphasized that continuous improvement is a priority, with quarterly reviews of automation rules, adjustments to reordering levels, and the addition of new supplier integrations to enhance procurement efficiency.

“The automated system enabled the Ministry to identify and stop loopholes and manipulations, directing waste towards subsidizing goods to reduce prices and expand access to services,” he added.