Analyze An Existing Operation And Suggest For Improvement

OUTLINE AND REQUIREMENTS Executive summary (250 words maxThe local gunstock has problems and weaknesses in running its operations The gross gross gross gross revenue is not put down in the books sometimes . The barters someone approves both reference work sales and sales discounts without the knowledge and consent of the store proprietor . The current operation is found to be wanting in terms of information , inventory , transportation , and location . thither are many suggestions to improve the results of operations and financial location of the store . The follow paragraphs show that the high society must straightaway action in to increase the sales and decrease the company costs inside the officeINTRODUCTIONBrigham , E , Gapenski , L , Financial trouble , Dryden Press , London pp . 21 -48 Define the operation and the linguistic context (business unit ) in which it operates The local merchandising store hither in London is owned and run by bod twelve level school dropout . Items are change and the sales person sometimes does not give appointed avail and /or sales invoices for items purchased . Further , the sales clerk totally approves the deferred payment requests of the customers based on the oftenness of the customer s visits . And , ware for sale are bought exclusively from one of the coituss of the business our . In addition , there is always a shortage of stocks because the furbish up provider is often delayed in delivery evidently , the sales person is the same person who receives stocks from the suppliers (Brigham , 1985 pp .21-48BODYItems are sold and the sales person sometimes does not give official receipts and /or sales invoices for items purchased . There is a immense temptation for the sales person to pocket the sales capital because he did not field of engage official receipt . also , government taxation agencies consider it illegal for companies not to issue official receipts .

And , there is strong possibility that the sales person may not report the true sales of the dayDefinitely , items are sold and the sales person sometimes does not give official receipts and /or sales invoices for items purchasedFurther , the sales clerk solely approves the credit requests of the customers based on the frequency of the customer s visits . The sales person should not be permit to approve credit because he is also the sales person . This is what is called in auditing circles as incompatible functions where the sales person should not also be the credit approving person . For , the sales person may report the sales at a ten percent discount and then he entrust steal the ten percent because the customer actually was instructed by the fraudulent sales person to pay in honorable Evidently , the sales clerk should never approve the credit requests of the customers based on the frequency of the customer s visitsAnd , merchandise for sale are bought exclusively from one of the relatives of the business our . Thus , the relative will have the possibility of charging the store under study a higher purchase price because the relative monopolises the supplier market...If you want to get a full essay, order it on our website: Orderessay

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