SWOT examination of this data.

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
icon
Related questions
Question

I need a SWOT examination of this data.

John (sales manager) – "I really like working for Mr. Fitzpatrick but I just cannot provide the type of
service to our customers like he says he used to when he was selling clothing in the shop. The volume is
just too much and we cannot expect all the salesmen to know the personal tastes of every customer but
that is what we need to provide the service they want. We really need to know which customers like what,
when new inventory will arrive, what has already arrived but is not in the showroom. And, the paper work
is getting worse. We really need better data. A key issue we have to address is when to sell on credit. A
few customers are, at times, over extended with their accounts and we really should not sell to them on
credit. We need to know what their outstanding balances are at the time they order or come into the shop.
I need detailed information about what our salesmen are doing so that I can help them focus on the right
merchandise with the correct customers, and frankly, I need to know which salesmen are just lazy.
The way we do it now, we have to fill out invoices, take manual inventory and total cash receipts, balance
the cash register, and count the cash and so on. There is a lot of work that has to been done at the end of
every day after we close the shop. I would like to be able to just count the cash and know what the total
deposits should be, every time there is a mistake we have to start over."
Jennifer (bookkeeper) – "Well, as you know, this is a growing company and I just cannot handle the
paperwork like I used to. It is just too time consuming to post daily ledgers, reconcile daily sales reports
and cash receipts and deposits. I need a way to automate the data and be able hold the people
responsible who actually handle the money and inventory. Some sales people are on commission but the
senior employees are salaried. I would like to just print the checks and do the audits on a regular
schedule rather than have to manually process invoices and time cards to figure out who should get paid
what and how much tax to deduct. Just the tax numbers for sales and payroll are a lot of work."
Dylan (manufacturing) – "My problem is just keeping track of what work orders have been received, how
much has been completed on each job, who is doing the work and when it will be completed. It is too
much work for one person and it slows down work when each work has to keep all kinds of records. The
records are never accurate or worth trying to use. I need a way to know exactly what is going on at all
times so I can more efficiently assign work to my employees."
Derrick (purchasing) – "I have a lot of vendors and we stock a lot of different patterns and fabrics. I need
to know exactly how much I have in stock, the usage rates, what materials will be needed for pending
orders so that I can order the goods in time for the work to start. It causes real problems when we have to
stop work on a project just because we have run out of the correct materials. You can just guess what it
does to our relationship with our customers when we have deliver products late. We have a lot of waste in
dead-stock, materials that just sit on the shelf because we ordered too much or the wrong materials for
the customer's order. There must be a better way."
Transcribed Image Text:John (sales manager) – "I really like working for Mr. Fitzpatrick but I just cannot provide the type of service to our customers like he says he used to when he was selling clothing in the shop. The volume is just too much and we cannot expect all the salesmen to know the personal tastes of every customer but that is what we need to provide the service they want. We really need to know which customers like what, when new inventory will arrive, what has already arrived but is not in the showroom. And, the paper work is getting worse. We really need better data. A key issue we have to address is when to sell on credit. A few customers are, at times, over extended with their accounts and we really should not sell to them on credit. We need to know what their outstanding balances are at the time they order or come into the shop. I need detailed information about what our salesmen are doing so that I can help them focus on the right merchandise with the correct customers, and frankly, I need to know which salesmen are just lazy. The way we do it now, we have to fill out invoices, take manual inventory and total cash receipts, balance the cash register, and count the cash and so on. There is a lot of work that has to been done at the end of every day after we close the shop. I would like to be able to just count the cash and know what the total deposits should be, every time there is a mistake we have to start over." Jennifer (bookkeeper) – "Well, as you know, this is a growing company and I just cannot handle the paperwork like I used to. It is just too time consuming to post daily ledgers, reconcile daily sales reports and cash receipts and deposits. I need a way to automate the data and be able hold the people responsible who actually handle the money and inventory. Some sales people are on commission but the senior employees are salaried. I would like to just print the checks and do the audits on a regular schedule rather than have to manually process invoices and time cards to figure out who should get paid what and how much tax to deduct. Just the tax numbers for sales and payroll are a lot of work." Dylan (manufacturing) – "My problem is just keeping track of what work orders have been received, how much has been completed on each job, who is doing the work and when it will be completed. It is too much work for one person and it slows down work when each work has to keep all kinds of records. The records are never accurate or worth trying to use. I need a way to know exactly what is going on at all times so I can more efficiently assign work to my employees." Derrick (purchasing) – "I have a lot of vendors and we stock a lot of different patterns and fabrics. I need to know exactly how much I have in stock, the usage rates, what materials will be needed for pending orders so that I can order the goods in time for the work to start. It causes real problems when we have to stop work on a project just because we have run out of the correct materials. You can just guess what it does to our relationship with our customers when we have deliver products late. We have a lot of waste in dead-stock, materials that just sit on the shelf because we ordered too much or the wrong materials for the customer's order. There must be a better way."
Personnel: (position: name – process responsibility)
1. Owner: Larry – all
2. Sales manager: John – 1, 5
3. Sales persons: Renae, Rachel, and Timothy
4. Bookkeeper: Jennifer – 5, 6, 7, 8
5. Assembly manager: Dylan – 2, 3, 4, 6
6. Workers: Jeremy, Linda, and Mary
7. Purchasing manager: Derrick – 2, 3, 4
Processes: (categories of routine tasks necessary to process information for running the company)
1. Selling – tracking prospects, recording sales, order confirmations, invoicing, etc.
2. Manufacturing (fitting, cutting and sewing) – ordering, recording and tracking work progress
3. Materials ordering, receiving and stocking – controlling manufacturing materials
4. Inventory control – accepting, recording, tracking consumption and costs
5. Daily balancing – reconciling credits and debits
6. Payroll – tracking and paying for work accomplished
7. Accounts receivable – tracking moneys owed the company
8. Accounts payable – tracking what the company owes creditors and vendors
Forms and Documents: (also known as data input and data output of a manual system)
1. Customer Invoice
2. Commission Statement
3. Vendor data
4. Vendor Invoice
5. Inventory report
6. Purchase order form
7. Daily sales report
8. Employee time cards
9. Payroll check and summary form
10. Federal 941 Payroll Tax Withholding Summary
11. General ledger
12. Bank deposit summary
13. Cash Register ticket
Transcribed Image Text:Personnel: (position: name – process responsibility) 1. Owner: Larry – all 2. Sales manager: John – 1, 5 3. Sales persons: Renae, Rachel, and Timothy 4. Bookkeeper: Jennifer – 5, 6, 7, 8 5. Assembly manager: Dylan – 2, 3, 4, 6 6. Workers: Jeremy, Linda, and Mary 7. Purchasing manager: Derrick – 2, 3, 4 Processes: (categories of routine tasks necessary to process information for running the company) 1. Selling – tracking prospects, recording sales, order confirmations, invoicing, etc. 2. Manufacturing (fitting, cutting and sewing) – ordering, recording and tracking work progress 3. Materials ordering, receiving and stocking – controlling manufacturing materials 4. Inventory control – accepting, recording, tracking consumption and costs 5. Daily balancing – reconciling credits and debits 6. Payroll – tracking and paying for work accomplished 7. Accounts receivable – tracking moneys owed the company 8. Accounts payable – tracking what the company owes creditors and vendors Forms and Documents: (also known as data input and data output of a manual system) 1. Customer Invoice 2. Commission Statement 3. Vendor data 4. Vendor Invoice 5. Inventory report 6. Purchase order form 7. Daily sales report 8. Employee time cards 9. Payroll check and summary form 10. Federal 941 Payroll Tax Withholding Summary 11. General ledger 12. Bank deposit summary 13. Cash Register ticket
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Understanding Business
Understanding Business
Management
ISBN:
9781259929434
Author:
William Nickels
Publisher:
McGraw-Hill Education
Management (14th Edition)
Management (14th Edition)
Management
ISBN:
9780134527604
Author:
Stephen P. Robbins, Mary A. Coulter
Publisher:
PEARSON
Spreadsheet Modeling & Decision Analysis: A Pract…
Spreadsheet Modeling & Decision Analysis: A Pract…
Management
ISBN:
9781305947412
Author:
Cliff Ragsdale
Publisher:
Cengage Learning
Management Information Systems: Managing The Digi…
Management Information Systems: Managing The Digi…
Management
ISBN:
9780135191798
Author:
Kenneth C. Laudon, Jane P. Laudon
Publisher:
PEARSON
Business Essentials (12th Edition) (What's New in…
Business Essentials (12th Edition) (What's New in…
Management
ISBN:
9780134728391
Author:
Ronald J. Ebert, Ricky W. Griffin
Publisher:
PEARSON
Fundamentals of Management (10th Edition)
Fundamentals of Management (10th Edition)
Management
ISBN:
9780134237473
Author:
Stephen P. Robbins, Mary A. Coulter, David A. De Cenzo
Publisher:
PEARSON