Case Study 2 – Central London Retailer

This Central London based retailer is a market leader in its field. We invited the client to have a free review of systems and procedures, during which we identified there were a number inefficiencies in systems. Moreover the client was lacking in management information and their stock system and other records were inaccurate.

Our solution to this Company has involved the following;

• We worked with our Sister Company and our IT Partner to install an upgraded Accounts system on a new Windows server interacting with their existing Macintosh computers. We worked together with our client and Partners to design the system to meet reporting requirements. As qualified trainers in the access accounts product and having a detailed knowledge of the clients business and requirements we looked after the implementation and training.
• The accounts function has been outsourced to ourselves, and we now look after purchase ledger and normal accounting functions, as well as producing monthly Management Accounts. The paperwork is posted to us on  regular basis and we input via remote access our client’s data.
• We have been able to streamline processes in a number of specific ways which have improved the way in which the business functions. A few aof the most important are listed below;
  
  • Supplier payments were previously made one by one using internet banking which was a lengthy process. We now produce a ‘suggested payments’ report - the client authorises which invoices to pay and we make a single payment by BACS (thorough our in house BACS Bureau), the remittances and accounts postings are made automatically during this process.
  • The ‘Authorisation’ of the Purchase Invoice procedure now converts Purchase Orders to Purchase invoice postings on the system by the client and this has therefore avoided the need to separately key invoices.
  • A number of manual records and excel spreadsheets were being kept which were unnecessary and caused a significant amount of wasted time. Information within the Company was not easily accessible or understood and in turn this caused conflict and delay. Centralising and simplifying systems and clearer reporting has given a much stronger management led approach.
• Overall the cost of outsourcing has reduced annual cost to the Company. The initial outlay include the Company will break even over 3 years, having had the additional benefit of improved internal IT hardware as well as more robust and modern accounts software. The Directors can now also work remotely themselves. Our Partners and senior staff are in more regular contact with the client as a result of our outsourcing and as a result have been able to pass advice through the process without additional cost on a variety of matters such as exit planning, Income Tax matters etc.

Overall our client is highly satisfied with the process and the benefits we have brought to the business.