Control Systems Of Sales And Distribution
Annual and monthly planning. Annually within the limits of planning of business the company budget should make the forecast of sales on months, on versions of production and on channels. These forecasts should become as on volume (quantity of containers or tons), and in monetary measurement. Forecasts on volume can be used in logistics for calculation of transport expenses, and monetary forecasts – in financial planning for definition of the sizes of a gain and profit. Every month this forecast is reconsidered depending on a situation in the market and changes in production positioning, the prices, etc. Process of monthly planning should be structured approximately under the following scheme:
• To 10 date of the last month to make the specified forecast of sales on channels and on production versions including expected profit.
• To 15 date of the last month to make the specified forecasts on purchases and-or manufacture and expenses for the logistics, based on forecasts of sales (expenses).
• To 20 date of the last month to carry out the analysis of a total gain based on forecasts of sales and purchases/manufactures.
• To 25 date of the last month to make the monthly budget and to approve it.
• Processing of orders and documentation conducting:
• To the majority of the companies which are engaged in retail, the computerised system of processing of orders is necessary. It includes introduction of orders in the computer where they are compared to production volume in a warehouse then go directly on a warehouse.
• Having received the order, operators of a warehouse prepare documents for shipment, bills and certificates of quality of production which should accompany each delivery.
• Then managers on planning make a route of delivery which will allow to minimise expenses on transportation and to deliver all orders according to the plan.
• Warehouse loaders type cargo for each car and put corresponding documents.
• At last, production is loaded into cars and goes.
• In the end of day the money, the signed bills and other documents come back to a warehouse for accounts department conducting.
The analysis of profitableness of trade channels:
No more rare than once a quarter, in the company the analysis of profitableness of channels of distribution should be carried out. For each channel the price of sold production is counted up and the cost price of this production is subtracted from the received sum. The cost price should include all production costs (purchases, equipment maintenance service, a wages, rent and other). The sum of a total gain as a result will turn out. Expenses for sale are subtracted from this sum within the limits of the channel, and also a proportional share of unprofitable and other operational expenses therefore the size of profit is defined. The companies which do not carry out such analysis, appear sooner or later in a situation when they use the non-profitable channel and do not know about it.
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