Solicitations for sales, increased competition in terms of modern distribution presence, increased consumer price dynamics that lead to a progressive supply “discount” applying first prices. Commercial brand development as an alternative to the traditional one and specialised niche sector achievement addressed at targeted, qualified consumers (e.g. Pet food, Wines, Dietary goods, Health goods, etc.) a generalised increase has been registered on the costs side: among others labour cost dynamics have increased in the last few years due to a significant sales paralysis. It is therefore essential to check the distribution chain introducing new monitoring and more effective organisational tools.
Management control solutions for the retail industry cover the main areas of interest concerning performance governance:
Different application areas are fully supported by the Budget and Forecast module. It does not only favour predictive procedures and individual area controls, but it also enables the integration of different budgets aimed at developing an integrated budgeting process.
Our solution is addressed at those companies willing to manage their sales profitability in a coherent and timely manner (channel, point of sale, department, etc.). Moreover, at present, it is essential to assess the effectiveness of promotional activities and customers’ clustering and analysis.
Sales profitability governance in relation to product categories, to stores and distribution centres through the creation of Point of Sales and Department, Channel and Company profit and loss accounts based on accounting data, goods and manual integrations. Assortments and promotional policies active management.
• Sales and commercial margins analysis
• Product category performance
• Assortment clustering analysis
• Shrinkage management check
• Returned and expired goods analysis
• Promotional effectiveness analysis
• Sales network
• Deviations analysis
• Fidelity analysis
The profit and loss account for commercial and sales profitability allows both an aggregated and a very detailed analysis.
For those companies in which personnel costs have significant consequences on the final cost, HR optimal management is extremely important. Moreover, those companies where departments and processing is “labour intensive”, take particular advantage of using a personnel costs control system.
Analyse the company’s existing resources and skills, identifying those critical areas that need to be solved through targeted action. It is also important to evaluate total cost impact. Combine costs information with the different profit and loss accounts as a result of a standard approach referring to precise and certified costs data.
Analyse productivity costs and personal effectiveness, quickly evaluate structure and processing re-organisation simulations through budgeting indicators.
The main advantages refer to:
• Improved workforce balancing and human resources management
• Workforce organisation according to their needs
• Limiting overtime
• Limiting the costs of leave which have not been taken
• Personal sales force incentives
• Hourly productivity calculation (monthly, weekly, daily, hourly)
• Costs calculation
• Skilled division of labour
• Point of sales/departments allocation on the basis of attendance
• Overtime, absences, annual leave control
• Right sizing of the workforce, shift management and employee specific requests
Our solution is addressed to business directors who can quickly access information regarding the business performance and identify a final competitive advantage. It basically provides a full analysis and management control system:
Balance sheets, profit and loss accounts of the company and of a potential third party (Business Unit, Order, Result area, etc.), cash flows and relevant economic, financial and structural factor analysis,providing a dynamic and prompt overview of final and provisional figures.
The main advantages are improved profit management and cost trends, analysing each task from different perspectives and implementing management control activities. Thanks to the application you can access either a final or management overview, integrating accounting and non-accounting data, and also implementing and performing an organisation of cost structures through a reallocation of rules. In short, this solution enables all corporate performance indicators governance to identify its main trends and analyse them from different perspectives (business area, corporate contribution margin)
ACCOUNTING AND MANAGEMENT DATA
• Accounting data integration containing summarised information coming from other flows: e.g. purchase invoices, attendance and payroll processing
• Accounting database for management purposes: cash and competence criteria
• Database update for forward-planning analysis: data management refresh at the beginning of each month/week
• Management data navigation through the management of reclassification sub-counts criteria
• Data projection and creation of preliminary forecast
• Accounts alignment (both final and management) to cost centre based approach: indirect cost reallocation to CDC
• Reallocation criteria selection (tables/hierarchical, automatic/manual, total/partial determination criteria)
• Opportunity to perform simulations and manual adjustments relating to suggested distribution criteria
With the aim of supporting businesses planning and management control, the E³ suite provides budgeting and forecasting solutions for individual areas of the business or for the coordination of the different areas concerning planning activities.
This budgeting and forecasting solution allows defining Corporate or Business Unit or strategic business approaches hypotheses, to integrate and consolidate the data and compare it with historical data or other relevant information. You can decide to adopt budgeting top-down approaches (from the general objectives to the operational ones), bottom-up or mixed. It’s a product tailored to all those businesses that consider proactivity and operational control a competitive advantage in order to achieve a complete software system and management control.
• Using a straightforward and flexible tool to plan strategies and verify the company’s results, thanks to shared certified and centralised data.
• Easily plan targets defining hypotheses based on historical data or building up projections, by integrating different budgeting information (e.g. production budgeting).
• Allocate budget to managers and easily integrate specific hypotheses adopting Office automation familiar tools.
• Monitor the activity verifying budgetary deviations and project final budgetary figures to simulate the end of the financial year.
• Company, Multicompany, Departments
• Functional areas (Commercial, Sales, Production, Profit and Loss Account, etc.)
• Types: Business, financial, operational
• Methods: Top-down, Bottom-up, mixed
• Working procedure: Workflow definition and scheduling
• Final balance: Non-accounting data, Full costing data, etc.
• Affiliations: Organisational structures, product families, etc.
• Historical data reclassification and update
• Cost drivers distribution and reallocation
• Different time lines: Every month, every season, etc.
RECYCLING AND EDITIONS:
• Building up different hypotheses and scenarios
• Forecasting/Current budget and revisions
• Deviations analysis
INTERFACING WITH INFORMATIVE SYSTEM:
• Accounting and commercial data input/output, etc.
• Acquisition through RDBMS/Import/Export file Xls, Txt, etc.
Our solution is addressed at those companies that are experiencing some governance issues for tasks such as product handling and service distribution.
The Logistics Analysis system allows the monitoring and management of logistics operations in order to improve operational warehousing and service performances.
Actively manage the entire supply chain thanks to an analysis system, through an active analysis of distribution efficiency and effectiveness.
Distribution efficiency and effectiveness improvement thanks to:
• Better identification of the real costs of logistics and productivity
• Sales network improvement reducing recovery orders costs; reduce stockpile management operational and financial costs
• Improve distribution centre services: reduce out of stock performance and improve shrinkage management and transport efficiency
• Optimise goods reorder processes in commercial departments, through references rotation, promotional policies and seasonal factors
• Analyse warehouse operations and costs productivity and efficiency (personnel, structure and production facilities)
• Activities (delivery, warehousing, restoring, load lowering), Preparation, Shipment
• Departments (lift truck operators, pickers, various services, delivery and shipment, offices and direction)
TRANSPORT AND DISTRIBUTION
Cost of transport and vehicles capacity analysis per:
• Warehouse/preparation units (pallet/roll)
• Type of carrier, truck type, journey (single/return), etc.
• Direct or indirect point of sales, lap cadence, etc.
SUPPLY AND SERVICE
Service analysis based on the quality of deliveries from the supplier to the distribution centre and from the distribution centre to the Point of Sales/Customer per:
• Supplier/Warehouse/Point of Sale/Customer
• Expedited order
• Product and product category
Level analysis, stock rotation, age and coverage per:
• Product/Product category