Profitability

  • How to increase business profitability?
  • Are operational actions effective?
  • What activities make the product unprofitable?

Costs of products, distribution channel maintenance, and output market selection as well as their influence on the business performance are among the most important information the Management needs. Data on product profitability is of key importance when making decisions related to the product and service portfolio. First, products are graded on the basis of information supplied by Xpertis Controlling. Such ranking is then compared with the sales income structure. The resulting data provides a basis for the decision on modifying or keeping the current marketing structure.

Purchase control

  • How to budget financial means required for settling liabilities?
  • How to control and maintain liquidity without the risk of losing it?

With Xpertis Finanse, Financial Directors can, at any time and at any stage, view all received documents, regardless of the document entry point (which is especially important in the case of multi-department companies) and their whereabouts (which facilitates purchase control and management if the Financial Director works remotely).
The implementation of electronic circulation of purchase documents reduces liability interest costs. By organizing the purchase process together with any related documents, approval cycle is speeded up, while automated purchase document posting facilitates proper repayment planning and helps avoiding default interest.

Electronic circulation of purchase documents helps to plan required amount of resources, as the ability to track contracted company expenditures and liability settlement times is vital for company cash flow management. When documents are registered without delays, company may include cash levels in expense planning and plan the amount and the repayment date for working capital facility. Controlled purchase document circulation allows for a reduction of fiscal and administrative costs.

Reporting

  • How to identify the cause of a high cost?
  • How difficult is it to perform a new analysis?
  • Who will be able to prepare a report?

Reporting is a dynamic process, which means that all data is up-to-date at the moment the balances are prepared. It provides Management Boards with access to vital information and analyses necessary to make the right decisions. For Financial Directors and Inspectors, it is a tool for generating quick (ad hoc) reports and for analyzing the causes and roots of the obtained results (drill down). For other Managers, it provides dashboards with key indicators reflecting the operation of individual departments and budget entities. Such functionalities are provided in Xpertis Controlling.

Efficiency

  • Is working time properly utilized? Are intermediate products and raw materials properly utilized?
  • Which branches of company are troubled by industrial waste, which may indicate mismanagement?

Xpertis Controlling facilitates product benchmarking, team efficiency comparison, and machine and facility load reports. These, in turn, allow the Management to check if company operation is economically justified in various aspects. The economic efficiency of individual responsibility centers serves as an indicator for their managers as well as for the Management Board.

Sales analysis

  • What are the sales of specific products in specific regions and periods?
  • Which customers generate the most income?
  • What product categories do they buy?
  • What are the least/most profitable products?

Today, companies store huge amounts of data in their IT systems but lack the knowledge on how to use them. Thus, companies need IT tools for searching the needed data (which is usually spread throughout the entire enterprise or its departments), processing it and supplying critical information in time to facilitate the decision-making process. Xpertis OLAP (On-Line Analytical Processing) multidimensional analyses are the answer to this need. Multidimensional data analysis is performed intuitively. For example, while querying for product or product group sales, one is not only interested in the overall amount of sales, but also in the sales split by customers and time periods. Since data in OLAP cube is saved hierarchically, it can be analyzed at various detail levels – from aggregated data (e.g., sales for a given month) to the extremely detailed information on individual transactions (e.g., sale of a given product to a given customer in a given month). These are the drill-down and drill-up operations, which were described before.

OLAP analysis provides an answer to “who?”, “what?”, “when?”, “how?”, and “why?” questions, and enables a comprehensive scenario analysis (“what if?”). It also allows for forecasting future trends on the basis of historical data.

Costs and sales profit

  • What should be the aim in relations with a given customer – high profit margin or high sales volume?
  • Can profitability be increased by introducing changes to the packing, sales, supply or customer support system?
  • Does sales volume justify discounts, rebates or long repayment periods granted to the customer?

Some customers buy products with relatively low margin. When service costs are added to the cost of such products, it may turn out that such cooperation is not profitable at all. Whereas customers buying products with relatively high margin often require additional service, which also makes the cooperation unprofitable. The process of defining trade policies, preparing price lists and analyzing sales profits should be backed up with controlling analyses. The major requirement made by trade companies is the need to settle overhead costs and add them to the purchase price. In both retail and wholesale trade companies, Xpertis Controlling supports coverage margin analysis as well as multi-dimensional customer analysis.

  • Are the ongoing projects profitable?
  • What are the reasons of variances from the planned budgets?

Xpertis provides an extensive support for financial control of projects. The Financial Director receives information regarding the estimated result and planned expenses. During the project execution, all tasks, materials used, labor costs, etc. are recorded. Juxtaposing the data on the actual use of resources with the planned amounts will allow the company to assess the economy of its resource management and improve planning indexes for future projects. It is possible to perform an ongoing project analysis – budget tracking also allows for identifying the reasons of any potential variances in individual projects and tasks. Project Manager will react earlier if the budget is exceeded and will be able to improve profitability of the project. All this information is available in Xpertis Projekty.