PROFITPROFITinnovationinnovation

21 Practices That Innovative Businesses 21 Practices That Innovative Businesses Are Using to Maximize Their Cash Flow Are Using to Maximize Their Cash Flow

and Beat Their Competitionand Beat Their Competition

Strong Chain of OperationsStrong Chain of Operations

Sale

Marketi

ng

Receiv

ing Prep

Receiv

ing

Mercha

ndisin

g

PO Follow

Up

Delive

ry / P

ick U

p

Sched

uling

Delive

ry

Routin

g

Picking

and

Prepara

tion

After D

elive

ry

Service

Follow

Up,

Follow

Up,

Follow

Up

Report

ing an

d

Analys

is

Recog

nition

and R

eward

s

Purcha

sing

Use a Selling SystemUse a Selling System

Integrate Email for Targeted Contact Integrate Email for Targeted Contact of Valueof Value

1. 2.

3.

Constantly Track and Improve Constantly Track and Improve GMROI (Gross Margin/Inventory)GMROI (Gross Margin/Inventory)

Buy Correct Items and Quantities, Buy Correct Items and Quantities, Just in TimeJust in Time

• Increased best seller in stock days = increases revenue.• Puts money into proven items at the right time to maintain the

best inventory mix.• Better use of buyer’s time - Min / max purchasing requires an

impossible amount of labor to be efficient.

Use EDIUse EDI

• Decreases the time and costs of entering order confirmation and vendor invoices

• Reduces possibility of mistakes

• Order status more reliable for salesperson for the customer

Purchase Order Confirmation and Invoice

Retailer Manufacturer

Network via

Internet

Use Systems to Merchandise FasterUse Systems to Merchandise Faster

Use Systems to Deliver FasterUse Systems to Deliver Faster

Integrate Delivery Routing, Mapping Integrate Delivery Routing, Mapping and Trackingand Tracking

Use Bar Coding for Inventory Use Bar Coding for Inventory and Sales and Sales

• Is the only way to have 100% control of quantities and locations.

• Makes physical inventories fast and routine.• Decreases manpower needed for picking, prep, and

transfers.• Increases sales because the salesperson can accurately

communicate availability to customers.

• Wireless scanning on the sales floor lets the salesperson stay with the guest.

• Inventory can be checked without going to a workstation or asking someone else.

• Items can be scanned directly to sales and quotes.• Much more professional.

Interface Offline Inventory Interface Offline Inventory With Website With Website –– ee--ShowroomShowroom

Have A Website That Produces ResultsHave A Website That Produces Results

Have an Integrated Room PlannerHave an Integrated Room Planner

• Sells furniture! Enables customers, designers, and sales team members to create custom room plans with YOUR furniture.

• Reduces returns since customers are buying furniture that is sure to fit in their home. • Speeds up the buying process because customers 'virtually own' the furniture upon

seeing the item within their room plan. • A fun tool that creates consumer excitement which translates into sales. Upon

completing one room plan, customers will utilize the tool for additional areas of their home.

• Customers design and BUY rooms of furniture rather than individual pieces.

Use Web PayUse Web Pay--PerPer--Click (Click (PPCPPC) ) ProperlyProperly

Use Social NetworkingUse Social Networking

Belong to Performance GroupsBelong to Performance Groups• A new and caring Board of Directors.• Encourages goal setting and holds each member accountable for

implementing techniques and advice gathered from meetings.• Choose the group discussions and topics.• Share best practices with other members. • Ask other experts about their experiences.• Financial benchmarking and confidentiality.

Share Ideas and PracticesShare Ideas and Practices

Have ForwardHave Forward--Looking and Value Looking and Value Added AlliancesAdded Alliances

• Media / Marketing• Freight• Product• Software• Systems• Business Services

Consulting

Use a Profit Maximization Analysis Use a Profit Maximization Analysis ((PMAPMA))

PMA Prepared by PROFITconsulting - Page 4 of 23 – Copyright PROFITsystems, Inc.

Professionally ForecastProfessionally Forecast

Know How to Maximize ProfitsKnow How to Maximize Profits

10 Steps to Increase Your Profitability1. Focus on marketing and new media

2. Be hands on when asking for a sale with a selling system

3. Ask for our help

4. Keep up with old friends with networking

5. Know where to cut costs

6. REALLY - Know your numbers

7. Don’t waste your time – stop putting out fires!

8. Maximize your selling prices and GMROI

9. Embrace new technology – innovate

10. Trash outdated practices

Take the Next Step to Innovate Take the Next Step to Innovate Your BusinessYour Business

• Contact us for a one-on-one demonstration of any of the innovations you just heard about or to get more ideas on how to improve your business. We are here for you!

innovation@profitsystems.com

• Take the survey so that we can improve and give you more of what you want.

• Questions, please?