OH! PAL Bakery Café: The Digital Transformation Journey with AI

July 23, 2024

Nestled in Hannō, Saitama, Japan, Heritage Hotel offers a nature-immersed retreat. Surrounded by lush forests, tranquil lakes, and soothing hot springs, this haven nurtures both the spirit and the senses. Guests can savor local cuisine at the scenic buffet restaurant or the inventive Japanese-style eatery. Additionally, the popular bakery café, OH! PAL, delights visitors with its natural, delicious, additive-free homemade breads and cakes.

In 2022, Heritage Hotel underwent a comprehensive upgrade of OH! PAL’s checkout equipment, swapping out outdated ECRs for iPad POS systems and integrating Viscovery AI image recognition technology. This move expedited the checkout process and reduced training time for staff.

▲ The Heritage Hotel in Saitama, Japan, is dedicated to providing guests with a relaxing nature-inspired retreat. (Photo by OH! PAL)

Disadvantages of the Old and Traditional Cash Registers

The traditional ECRs previously used at OH! PAL can’t keep complete sales records. Moreover, without a screen, ECRs make it difficult for cashiers to efficiently select items. They rely on a limited keyboard for item buttons, requiring cashiers to memorize prices or numbers and enter each one manually, which is quite a grueling task.

These types of registers are now quite rare, typically found only in a few traditional grocery stores, food stands, and restaurants, and they support only the most basic functions.

The disadvantages of using ECRs are as follows:

  1. Lengthy staff training to memorize bread prices or codes
  2. Slow checkout times leading to long queues and lost sales
  3. A higher risk of errors compared to the more intuitive POS systems with screens
▲ Traditional ECR checkout equipment lacks screens, only featuring keyboards. Cashiers must memorize product prices or codes and manually input them into the ECR. This not only leads to poor checkout efficiency but also increases the likelihood of errors in transactions.

Digital Transformation Simplifies Workflows and Enhances Job Value

Years of checkout challenges have made OH! PAL realize the necessity of digital transformation, and to address potential labor shortages. Repetitive, tedious tasks are draining for anyone. In this era of advanced technology, OH! PAL is focused on leveraging technology to automate mundane processes and enhance job value.

To lighten the load on staff, OH! PAL underwent a digital transformation in 2022, upgrading their checkout systems by replacing ECRs with iPad POS systems. They even introduced AI image recognition technology to handle bread identification, allowing cashiers to focus on customer service.

Seamless, User-Friendly Technology Integration

The transition from ECRs to iPad POS was almost seamless for OH! PAL, with minimal adjustment needed. They realized that the checkout system had entered a new era—there was no longer a need for expensive, bulky POS machines. Instead, an iPad with POS software offered powerful POS functionality. Plus, the compact size of the iPad allows for more flexible use of counter space, and staff can quickly get accustomed to using it.

OH! PAL was particularly excited about Viscovery’s AI image recognition technology. The AI helps cashiers quickly identify items without barcodes and can recognize multiple products at once. This not only greatly improves checkout efficiency but also maximizes human resources, allowing cashiers to focus on customer service rather than getting bogged down in identifying items. It also significantly reduces the time and cost of training staff to recognize products, optimizing overall operational efficiency.

After a simple trial of Viscovery’s AI system and confirming its compatibility with iPad POS, OH! PAL decided to adopt it immediately. Overall, OH! PAL’s digital transformation was spot-on, upgrading from traditional ECRs to iPad POS and incorporating AI recognition systems to streamline the checkout process.

Flexible AI Image Recognition

Viscovery’s AI system not only integrates seamlessly with various POS systems but also recognizes a wide range of products. Since Viscovery’s AI technology identifies items based on their appearance, it’s not limited by product type. This feature is particularly suited to OH! PAL’s needs, as their products include not just bread but also items like bento boxes and more.

If OH! PAL expands or adjusts their product offerings in the future, the AI recognition system will continue to provide support, allowing OH! PAL to keep their sales process flexible, simplify the checkout process, and improve operational efficiency.

Practical Digital Transformation

In Japan, digital transformation has become a key issue across various industries, referring to the use of digital technology to change workflows, products, or services in order to enhance efficiency, competitiveness, and customer experience.

Ms. Yonezu, who manages OH! PAL at Heritage Hotel Hanno, shares, “This digital transformation is not just a technological upgrade; it also demonstrates our adaptability to the new era and our commitment to improving the work and service experience for our staff and customers.”

Ms. Sekiguchi, a staff member at OH! PAL, adds, “AI helps us quickly identify bread and bento items, making the checkout process much smoother. Even our customers have noticed a significant improvement in checkout efficiency and are very satisfied!”

In today’s fast-paced technological world, industries must strike a balance between technology and the human touch. The most effective digital transformations blend technological advancements with human interaction to improve everyday experiences. Viscovery’s AI system is set to play a key role in achieving this balance and enhancing overall quality of life.

▲ Viscovery’s latest AI technology can quickly identify barcode-less items like bread, and even lunch boxes, speeding up checkout and maximizing human resources.