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UNDERSTANDING THE 'MATRIX'

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Reduce your inventor
costs
Ã'·The
DCS system allows you to monitor your inventory accurately and
identify overstock, slow moving, and dead stock. So you can
liquidate less profitable items and use the money saved for other,
more productive lines.
Ã'·This will
reduce your carrying cost while keeping your money in the most
profitable items ââ'¬" and you will see a much
better return on your inventory investment.
Ã'·Fact is DCS
customers have been able to reduce inventory investment by an
average of 27%.
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Increase your inventory
turns
Ã'·Through
improved purchasing procedures you will buy the right items when
you need them and at the best terms. You will also be able to
maintain your inventory at a level that will significantly increase
your turns. With the proper margins, your profitability will
increase as well.
Ã'·Overstock can
hurt your profitability as much as dead stock or too little stock.
DCS will improve your control over inventory levels and help you
achieve significantly higher turns.
Ã'·Fact is, DCS
clients typically experience a 50% increase in inventory
turns.
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Increase your service
level
Ã'·With greater
control of your inventory and knowledge of what is overstocked and
what is not moving, you can redistribute your inventory investment
into fast moving items. The result: You will have the right items
in stock when you need them. At the same time, you will raise your
level of service well into the 90s. This will reduce your stock
problems as well.
Ã'·Fact is, a
95-98% service level is quite common for DCS clients.
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Increase your margins
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DCS gives you much greater control
over your pricing. In fact, with DCS automatic pricing you can
increase your overall gross margin by controlling it on an
item-by-item basis, selecting different margins for stock with
different movement.
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Fact is, wholesalers using the DCS
system have increased their gross margins by 3 points, some as many
as 7 points.
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Improve your cash flow
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With automatic credit checking and the
receivables information available through the DCS system, you will
stay on top of collections from day one. At the same time, with the
cash requirements report you will also be able to take advantage of
any purchase discount from your vendors. This combination will help
you bring in money faster and improve the cash position of your
company â€" Right Away!
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Improve the effectiveness of your
sales force
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By knowing how much each salesperson,
each item, and each customer contributes to your gross margin, you
will be better able to move your sales and marketing effort in the
most profitable directions.
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Save money through better management
of your payables
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You will save significant dollars by
verifying the accuracy of the billing from your
suppliers.
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Fact is, many DCS customers save 1%
and more of the cost goods for stock sales by catching
errors.
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In addition, better tracking of the
volume you do with each of your suppliers will give you effective
negotiating tools for getting the best buys.
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Receive management information
quickly
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With DCS you can cut through the
paperwork logjam and do invoicing quickly and
accurately.
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Fact is, when you enter an invoice
into the DCS system, everything is updated automatically: inventory
balances, accounts receivable, daily sales journals, and
profitability reports, whatever you need.
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So management information is current
up-to-the-second and accurate. Your staff is free to concentrate on
more profitable activities.
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Take on new lines and handle more
sales volume- with additional capital outlay
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You can use the capital released from
inventory to invest in new lines and more high turning stock. In
other words, DCS will help you increase your sales without
increasing your inventory investment, and it will allow you to
handle more sales volume without adding more people.
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