business services development approach
TRANSCRIPT
ANNUAL GATHERINGMARCH 2016
Business Services Development Approach
01/05/2023By Alaa Hamdy1
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Key Success Factors
01/05/2023By Alaa Hamdy
Sales Management
Successful Organization
Financial Management
Human Asset Management
Inventory Managemen
t.
Logistics Management
.
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Human Asset Management
01/05/2023By Alaa Hamdy
BrandingIs about creating a glossy image of the Company in front of others internally or externally.
Recruitment & OnboardingIs about selecting the right person with the right competencies to be hired or promoted & to get him oriented.
RetentionIs about keeping your potential employees satisfied.
Rewarding Employee of the monthManager of the monthThrough Dashboard
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Human Asset Management
01/05/2023By Alaa Hamdy
Manager SupportIs about being the backbone of your sub-ordinates, support by training, advising, directing, etc…
Communication Improvement- Communicate clear goals & expectations.- Share information and numbers.- Encourage open communication & innovation. - Create a strong team environment.- Sense of belonging & Loyalty.- Provide constant feedback on the positives.- Collaborate and share on problem-solving.
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Financial Management
Cash Flow Management
01/05/2023By Alaa Hamdy
- Cash Flow is the life-breath of the Company.- Cash Flow Projection is the main tool to make sure that we can afford to pay our dues either to Suppliers or Employees. - Working Capital is the difference between the Current Assets & the Current Liabilities.
- Cash Flow could be managed through:
A. Improving the Collection process Inhalation.
B. Improving the Payment process Exhalation.
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Financial Management Cash Flow Management
Improving the Collection process
01/05/2023By Alaa Hamdy
DRIVE THE RELAT IONSHIP
How to manage your Collections?State clearly your payment terms on the invoice, BASED ON THE
AGREEMENT.Sort the checks that will be due this month.Plan to call or visit the Customers to collect the checks.Collect immediately the ready checks & deposit in the bank.Follow-up on a daily basis with the Customers if the checks aren’t yet ready.Report on a daily basis the obstacles of collecting the due checks to the concerned BU & Finance via email.
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Financial Management Cash Flow Management
Improving the Collection process
01/05/2023By Alaa Hamdy
D R I V E T H E R E L AT I O N S H I P
Early Bird catches the WormEncourage your Clients to pay early to get the discount, For instance; 5/20, n/60 , the client will get a 5% discount if he paid the invoice amount in 20 days.
Partial-Progress PaymentsConvince him to pay the amount in 2 or 3 checks, For Instance; if the invoice amount is100K due after 60 days, so 30K in advance / 30K after 30 days / 40K at the end.
Checks rather than CashConvince them to pay through giving us a post-dated check to put in the bank to finance our business instead of waiting for the Cash payments.
Filter your CustomersStop supplying the always late Customers & concentrate with the other good Customers.
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Financial Management Cash Flow Management
Improving the Payment process
01/05/2023By Alaa Hamdy
MANAGE THE RELATIONSHIP
- Suppliers who don't get paid on time will soon STOP supplying the business.
- They know very well that you are using their money in your WC.
- Suppliers will try to shrink their facilities to the minimum.
- Despite the long-term relationship but the global recession is more powerful than the old bonds.
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Financial Management Cash Flow Management
Improving the Payment process
01/05/2023By Alaa Hamdy
MANAGE THE RELATIONSHIP - It’s important to have categorization between Urgent, Statutory, Utility & normal suppliers.- Take care of the due date stated on the invoice.- Negotiate for better credit facilities (higher credit limit, longer grace period), - Negotiate to remove Cash against document. - Keep an eye on late payment interests/penalties.- Try to buy in bulk, but negotiate harder on discounts if suppliers demand fast payment.- Convince him to start counting the due date based on the shipment’s arrival date.- Try to get your suppliers offering you longer payment terms on projects that will take you a long time to complete.
Financial Management Periodic Financial Reports
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STUDY YOUR RESULTS
Monthly Consolidated / BU P&L vs. BudgetWhich shows the company profitability per BU & the profit margin comparing to the set budget, to know whether we are on the track or some corrective actions has to take place. Quarterly Financial positionWhich shows the company’s ability to pay it’s liabilities to creditors & suppliers.
Semi-annual External AuditTo be always ready with an audited financials that might be requested by any financial institutions, also to minimize the year-end closing load.
01/05/2023By Alaa Hamdy11
Financial Management Periodic Financial Reports
STUDY YOUR RESULTS
Semi-annual Supplier/Customer reconciliationTo always keep our accounting books matching with the other parties ones to avoid any confusion related to invoices or taxes.
Financial Ratiosillustrate the strengths and weaknesses of the business to allow us to set specific goals and to easily track progress toward those goals.
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Financial Management Financial Planning & Analysis
PLAN BASED ON YOUR RESULTS
Budget- Reliable & Precise figures.AdvantagesCost efficiency not reduction through Authority Matrix / HR Compensation & Benefits Policy / SOP
Authority MatrixTo improve the work flow / delegate authorities.
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Financial Management Fixed Assets Management
01/05/2023By Alaa Hamdy
SAFEGUARD THE COMPANY ASSETS Asset Register- It’s is a tool that seeks to track fixed assets for the purposes of financial accounting, preventive maintenance, cost management and theft avoidance.- Fixed assets such as Computers, Furniture, Office Equipment, Cars, etc…
Tagging & TrackingEach & every assets has to be tagged with it’s unique code, to track the location, quantity, condition, maintenance and depreciation status.
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Financial Management Fixed Assets Management
01/05/2023By Alaa Hamdy
SAFEGUARD SAMORAL ASSETS
InsuranceBusiness insurance protects a business from closing due to a catastrophic loss caused by Fires, Robbery, Floods, etc….Insurance policies terms & conditions are OBLIGATORYOtherwise save the premium & the face the catastrophe.
StocktakingEnd-year stocktaking will take place to update our records to check if the asset exists, moved, lost, robbed.
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Inventory Management
01/05/2023By Alaa Hamdy
MANAGE YOUR STOCK ORDERING
JIT (just-in-time)Order nearer the time you need the stock,
To avoid having a sleeping stock, obsolete inventory & overtrading problems.
Re-order (lead time)Order to the maximum limit of your sales projection, without being below the Safety Stock level.
To have available stock all the time, benefit from the bulk purchase discounts.
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Inventory Management
01/05/2023By Alaa Hamdy
MONITOR YOUR STOCK
StocktakingMonthly / Quarterly / Yearly or may be Suddenly.
Stock Control
- Sleeping stock.- Stock movement.- Internal sale/transfer.- Wastage.
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Logistics Management
01/05/2023By Alaa Hamdy
State precisely all the Customs required documents in the P.O.
Update the Supplier if any changes happened through the business support team.
Feedback the supplier through the business support team. if anything was missing & will lead to delay the clearance.
Keep an eye on the delivery date to avoid penalties or P.O cancellation.
Plan your shipment’s clearance based on arrival date, lay time, delivery date.
Arrange with the concerned Sales person & the Warehouse Manager to minimize the local goods shipping cost.
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