Finance SOP - van sales - Axiom Easy Sales... · sales uploading. Stock Counter Conduct the count,...
Transcript of Finance SOP - van sales - Axiom Easy Sales... · sales uploading. Stock Counter Conduct the count,...
Ver: 2.1
2. Scope
Van Sales
AT/F/PR 07 Date: 07/2012
1. Objective
The objective of this procedure is to describe all the activities associated with handling the
accounts of Van Sales
The scope of the activities defined in the procedure is applicable to the Finance Department of
Axiom Telecom UAE
3. Inputs
• Sales / Stock Reports from HANDHELD System (PDA portal)
• Schedule
• Aging report
4. Hierarchy and responsibility
Finance
Manager
Receivables
Manager
Credit
Controller
Senior AR
Accountant
Recon
Accountant
Receivables
Accountant
Cashier
Stock counter
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Van Sales
AT/F/PR 07 Date: 07/2012
5. Requirements
KPI:Activity : Pre-activities Requirements Customers set up in system
Manual Invoice (only used when it is not possible to
issue invoice using the HANDHELD)P.O.S. (Handheld)
- Define Customer in ERP
- Define Site in ERP (each customer should be linked
to particular site).
- Define Customer in ERP
- Define Site in ERP
- Update (Synchronize) in the Handheld
• If Customer with Credit:
Credit limits/ credit in days to be recommended by Channel Manager, reviewed by Country Finance
Manager and should be approved by Country VP in charge.
Update of the credit terms in the ERP by credit controller upon receiving the official documents and
credit application
• Customers paying by cheques will be considered ‘Credit Customers’ and limits need to be set initially
since cheques take 2-4 days to be collected (in addition to bouncing back risk).
Bouncing cheques
When cheque bounced back; credit limits should be stopped (will be blocked in Handheld), and
payment collection transfer customer to cash, or VP approval
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Van Sales
AT/F/PR 07 Date: 07/2012
6. Activities
KPI:
Input /
ReferenceProcess Sequence Process Step Responsibility
Record
Generated
Deliver Cage to warehouseSales Rep/
Security
(Handheld
Interface)
Sales Rep to put the HANDHELD on the
docking station to synch with system
(download daily sales data and update
the inventory) start data interface and
Day End Process. In Case of manual
invoice due to data problem, correction
should be in same day in coordination
with IT maximum by next day morning.
Sales Rep
Day End
Process and
data transfer to
ERP
Customer wise
sales report
(HANDHELD
Interface)
Customers Wise sales Report with copy
of all sales invoices done including
details of collections done (cash and
cheques)
Sales Rep /
Cashier
Customer wise
sales report -
HANDHELD
system
(HANDHELD
Interface)
Confirm from manual invoice book that;
all the invoices have been captured (from
customer account in the system) to
insure that no manual invoice is still
pending (in case of any pending - to be
listed in the
daily reconciliation)
Cashier
Customer wise
sales report with
copy of all
invoices
attached with
the actual cash
and chqs
received
Customer wise
sales report with
support
Sales Rep to do the daily sales process
the cashier
The sales rep will submit the customer
wise sales report + detailed support
(invoice copies) + daily collections +
details of manual invoices and other
issues that could not be solved in the
same day + reconciliation (if required)
Sales Rep /
Cashier
Customer wise
sales report with
support
Activity : Daily Collection (1)
To ensure On-Time & Correct
payment collection from van sales
reps.
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Customer wise
sales report with
support
Upon receiving the amount & cheques,
Cahier will approve Customers Wise
sales Report based on the credit
available.
Cashier
Customer wise
sales report with
support
Hand over Sales
rep to Cashier
Sign and stamp (dated stamp) the above
report as proof of receiving the money &
documents.
As proof of handover of all cash and
cheques from Sales rep to cashier, one
copy to be kept with Sales Rep and the
other with accounts.
Issue document listing all cheques
received from the Sales Rep (list of
cheques received & customer name
signed by Sales rep to be able to track
bounced cheques).
Cashier will fill all details of van wise
customer wise sales report on the
consolidated sales report sheet. This will
be the summary daily sales report having
all required details to be submitted end of
the day from Cashier to Receivables
Accountant
Place cash and cheques in cashier safe.
Cashier
Customer wise
sales report with
cash and
cheques details.
Signed with two
copies one with
sales rep and
the other for
accounts + list
of cheques
received by
Sales rep
signed.
Customer wise
sales report (for
each van sales)
and the daily sales
report
Repeat above process for each van
sales repCashier /
Sales Rep
Customer wise
sales report and
the Daily sales
report (including
customer wise,
van wise sales
and collections
of cash and
cheques for the
day)
Activity : Daily Collection (1)
To ensure On-Time & Correct
payment collection from van sales
reps.
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Daily sales report
with support
(customer wise
sales report +
cheques and cash)
Cashier to send the Daily sales report
(excel) to the accountant and hand over
the cash and cheques to the accountants
Cashier /
Receivables
Accountant
Daily cash
collection report
Cash & cheques
entry in system
Process AR receipts according to
payment mode per customer per van.
(For cash , to be processed as one batch
for all customers/ vans of that area &
receipt reference will be money receipt
voucher #s)
(For cheques , the receipt number will
be the cheque number with money
receipt voucher #).
Return the cheques to the cashier for
storing and deposit
Receivables
Accountant
ERP Applied or
Unapplied
Receipt Voucher
Report
Receipts notes to
match respective
invoices
Process Receipt Summary Report to
recall receipts voucher and apply it with
related invoices
Receivables
Accountant
ERP Summary
Receipts Report
& Applied or
Unapplied
Receipt Voucher
Report.
Prepare cheques deposit as per bank
standard rules of deposit
(i.e. one deposit = for several cheques
listed per available fields, )
CashierBank deposit
Slip
Cash & Cheques
with the deposit
slips
Deposit the money in the bank. The bank
deposit slip is kept with accountant as
proof of deposit, and attached to the
Daily sales report (excel)
Note: Cash and cheques to be handed
over to bank collector wherever the
facility is available and as per the
process agreed with the bank
Cashier /
Collector
assigned by Bank
Bank deposit
Slip
Activity : Daily Collection (1)
To ensure On-Time & Correct
payment collection from van sales
reps.
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Once online banking shows money
realized; clear the receipt from cash
management.
Receivables
Accountant/ Bank
Recon Accountant
Bank GL
account is
updated & cash
management is
cleared
In case of out
station receivables
accountants
Forward the support documents (daily
sales report on excel + customer cheque
list + Applied & Unapplied Receipt
Voucher Report + Bank deposit slip)
Senior Receivables Accountant for
review & approval.
Receivables
Accountant/
Senior
Receivables
Accountant
Journal voucher
of posted bank
deposit entry +
Excel reports +
receipt voucher
reports.
Internet banking
could be used
for verification .
Discrepancy (Cash
Shortage)
In case of cash shortage found & verified
while cash is being collected from Sales
Rep, Cashier to inform the Van Sales
Supervisor prior to handover.
After that; the form will be signed by both
the Cashier & the Van Sale Supervisor
mentioning the discrepancy found &
obtain the Sales Rep signature as proof
of shortage.
Note: Credit Controller / Country Finance
Manager to be informed first thing in the
morning .
Cashier/
Van sale
Supervisor
Discrepancy
signed;
E-mail to Credit
controller/
Country Finance
Manager.
Discrepancy
(Bounced Cheque)
In case any cheque bounces, inform the
Sales Rep/ Van sale Supervisor to take
necessary actions.
When a cheque bounces, the
reimbursement will be done by cash only
and not by cheques.
Also, any sales in excess of credit limit
will be on cash basis only, or else
approval from VP should be obtained
before the sale takes place (on credit)
Receivable
Accountant /,
Sales Rep &
VP
Activity : Daily Collection (1)
To ensure On-Time & Correct
payment collection from van sales
reps.
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Receivable reconciliation done for all
payment received on daily basis for any
reconciliations + Confirm van receivables
accounts nullified
(Preparation of all ERP entries and
receipts)
Receivables
Accountant/
Senior
Receivables
Accountant
Reconciliation
Report
Credit Note :
Price reduction /
any discount as per
agreement
Price protection or any other benefits to
be intimated by the channel manager to
the sales team and receivables manager
by e-mail; RM to cascade it to the
receivables team
Van sales
Manager/
Receivables
Manager
Send e-mail for
notification
Can also be
recorded in the
Invoice for proper
control (included in
the HANDHELD)
Credit notes issued should be checked
by the Receivable Accountant.
Verify the customer Credit Note against
invoices sold in previous period (max 3
days old), verify price and e-mail
received & book the credit memo - or
Auto Entry in ERP
For credit notes backed by Suppliers,
proper confirmation from the brand team/
or the supplier benefits accountant is
needed in order to be processed
Receivable
Accountant
Credit Note /
Invoice verified
Review Credit Note and approve/ modify
if required.
Deliver Credit Note to Sales Rep.
Credit note to be used as mean of
payment (deduction) from the next
issued invoice to the customer.
Receivables
Accountant/
Senior
Receivables
Accountant
Approved Credit
Note
Issue Credit Note
per customer
The Sales Rep based on information
received will deliver the Credit Note per
customer
Sales Rep Credit Note
Activity : Daily Collection (2)
To ensure On-Time & Correct
payment collection from van sales
reps.
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Based on the credit
Terms / Payment
Terms
The Accountant will review the aging
report after all transactions are
completed in system (daily)
Accountant will also generate the
account status report from ERP to know
the uncollected invoices
Receivables
AccountantAging report
The same report to be reviewed by the
Credit controller for credit limits / terms
control
Credit Controller
Credit Monitoring
Credit monitoring is available in the PDA
itself - Sales reps will not be able to
invoice once the credit limit is reached. In
case a credit sale is made exceeding the
credit limit without approval from the VP,
same needs to be escalated to the credit
controller by the cashier
Van Sales Team/
Cashier/ Credit
Controller
Credit
Monitoring on
PDA
Where Exceeding
the limits
Any outstanding / Exceptional cases will
be informed by the Credit controller to
Country
Finance Manager/ Channel managers/
VP for necessary actions
Credit controller
Activity : Credit Controlling / market collectionMonitor & Control the Credit Terms
are maintained all Times
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Based on the
schedule the
physical Inventory
has been updated
in the system
Based on the schedule, the Stock
counter will prepare for stock take for van
warehouse (cage)
Stock Counter
Process to be started in the evening after
sales uploading.Stock Counter
Conduct the count, upload to ERP for
variance report and reconciliations.
Stock Counter/
Sales rep
Sales rep signed
physical stock
count result
Verify adjustment for variance if
any in System
Stock counter/ IT
department
Inform the Van Sales Supervisor for
necessary actions & approval.
In case of shortage, send info for payroll
to do salary deduction & inform CFM &
Channel manager for gap.
Stock Counter
Country Finance manager approve cycle
count
Country Finance
ManagerStock updated
Activity : Inventory Variance should be Nil
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Cheques (both on time/PDC)
reconciliation should be prepared on
daily basis. Cheques should be kept in
the Cashier's safe as per maturity date
sequence.
(Daily; Receipt Journal report shows all
matured cheques need to be deposited
in Bank) Cashier must insure that all the
maturing cheques must be handed over
to the bank's collector to be deposited
before bank closing time.
Cashier/ Bank
Collector
Receipt Journal
Report
Prepare the reconciliation with supporting
document for all pending payments -
Bounced/ PDC cheques, cash for the
days deposit not yet done “only non
working days of the end of the month
should be pending for cash deposits”
Receivable
Accountant
Email ,
Reconciliation
report
Recommendation:
Cash
management &
bank
reconciliation
should be
segregated &
managed by GL to
have job
segregation &
controls
from different
division.
Coordinate cash bank account
reconciliation with GL Accountant on
daily basis to insure all bank deposits are
cleared. Or Receivable accountant to do
reconciliation depending on country
setup
GL
Accountant
/ Receivable
accountant
Activity : Bank Reconciliation Cash / Credit Tallying bank account with books
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Sales return for
Phone care
1. At the customer: inspect the damaged
phone. Collect the defective unit from the
customer (if it’s eligible for replacement)
and send to Phone Care for further
inspection.
2. After receiving the Phone Care report,
if it is eligible for replacement then
replace the same model to customer (if
the same product is available) If not
available then make the sales return and
issue credit note to customer.
3. Sales rep post the SR with the DOA
approval, accountant will apply the CN
with future sales.
Van sales rep/
Phone care/
Receivables
Accountant
Move order to
Phonecare,
Phone care to
accept SLI
Prepare weekly status on
unresolved issues pending during
the week to the Country Finance
Manager.
Pending issues related for more
than one week time need to be
addressed on top priority to
insure repetitive mistakes are
avoided.
?? ??
Note: Since all warehouse operations are handled by logistics, the above part to be deleted from
the finance SOP
Activity : Day to Day Follow up
Ensure daily Control on stock
movement and on time status of
store inventory
Activity Decision Review and approval
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AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
The Van Sales
Supervisor will also
allocate the special
items-
Recommendation
Requisitions Form - Van Sales rep -
given for items needed to the Store
Keeper for issue in eveningSales rep
Stock
Requisition
Form ( limits of
distribution
Loading
of Items to be
defined )
Check the stock Availability in
system (warehouse)Store Keeper
All stock in system
transfer will have
their own reference
no. to be matched
for transfer
between the
locations
Prepare available stock for deliver;
process move order in ERP
Receivable
Accountant /
Store keeper
each enter his
location
Move Order
Load the items in the van in presence of
van driver , Van Sales rep, Security &
Store Keeper & get signature of Sales
rep & Security on the move order
Store Keeper
Sales rep and
Security
Then the Accountant will verify the
approval of Salesman, Security & Store
Keeper
Receivable
Accountant
Confirm - Mover order for van location
posted in the system
Receivable
AccountantMove Order
Stock Return Form will be made for
items to be returned and given to the
warehouse
Sales rep
Stock
Requisition
Form (return)
Proper approval
signatures to be
made in Stock
Transfers / move
orders
Return physical stock in the presence of
Sales rep, Security & Store Keeper,
generate the move order in warehouse
location to be signed by security, sales
rep and store keeper, signed copy filed
with security and store
Store Keeper,
security and
sales rep
Signed move
order by
Security, Sales
rep & Store
Keeper
Activity : : Stock controlling ( Issue / Receipt )To maintain the physical stock
variance as Nil
Activity Decision Review and approval
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AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Accountant to verify the approved form
& posting done move order in van
location.
Receivable
AccountantMove Order
Warehouse based on the move order
posted, the stock is updated in the
system,
Store Keeper Move Order
Inspection of
material during the
receipt to be
evidenced &
Recorded, any
damages to be
recorded & Actions
to be initiated for
improvement -
Recommendation
Note: Since all warehouse operations are handled by logistics, the above part to be deleted from
the finance SOP
Activity : : Stock controlling ( Issue / Receipt )To maintain the physical stock
variance as Nil
Activity Decision Review and approval
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Van Sales
AT/F/PR 07 Date: 07/2012
KPI:
Input /
Reference Process Sequence Process Step ResponsibilityRecord
Generated
Activity :Commissions
AS PER COUNTRY STRUCTURE FOR COMMISSIONS
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Van Sales
AT/F/PR 07 Date: 07/2012
7. Outputs
8. Monitoring and Measurement
Refer to Process Control Sheet
9. Forms and Records
Name
Sales / Stock Reconciliation Sheet
Receipt Voucher
Cash / Cheque Deposit receipt
Invoice
Reconciliation Report
Credit Note
Move order
Stock Requisition Form
Credit Monitoring Report
Aging report
10. Interfaces
None
11. Process Tailoring
None
• Receipt Voucher
• Cash / Cheque Deposit receipt
• Reconciliation Report
• Aging report
Reference
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