Produce Magic Software Takes the Work Out Of Doing Consignments
Growers, Packers and Shippers are usually good at handling product and getting product ready for market, but in many cases, they are not effective at marketing and sales.
It is often more cost effective for these companies to “partner up” with another firm who is good at selling the product and has good customer contacts. In many cases, these grower, packer and shipper companies can save a lot of money and have much better results by having another firm do their sales.
With Produce Magic Software any Produce Company, including Brokers, can easily do the detailed tracking and reporting that is needed for Consignment Sales. Even if extensive repacking is done on the consignment product, the information that is needed is collected automatically as Sales Orders are entered and processed.
Then it is just a matter of designing the reports that fit the needs of your consignment arrangement. For standard consignment arrangements, the built-in reports that include complete profit and loss information normally provides all the tracking and reporting that is needed.
Produce Magic Software tracks 120 user defined cost totals in every sales line item, which makes it easy to design custom Consignment Reports including detailed profit and loss information. Since all of the different Cost Types are tracked separately, it is relatively simple to apply formulas and calculations to certain cost totals to comply with special consignment accounting needs.
Many of our customers have had us do extensive custom consignment accounting reports to make their unique consignment settlements totally automatic. Our customers tell us that these custom reports are very cost effective because they save them a great deal of labor.
Example of Information Provided to Consignment Growers and Vendors
1) An Inventory Lot Summary shows the totals of all activity in each inventory lot, from each Purchase Order, for a range of dates and the “Paid Status” for each Lot. The total Gross Profit and Dollars to the Grower are included in the report. Inventory Lot Summaries can be viewed on the screen at any time.
2) A report of all Inventory Lots from Purchase Orders in prior periods that are not settled yet.
3) The total for all costs types on each inventory lot and a report showing the detail of all of those costs, so the cost totals could be verified.
4) Reports showing all sales for each of the Inventory Lots in the Inventory Lot summaries above. This report is printed in the same order as the Inventory Lots, so it is simple to verify the Sales totals in the Inventory Lot summaries.
5) Reports showing the Grower’s average sales totals and average Profit/Loss for each product code, each commodity and variety, and each commodity and the overall total. If desired, the average numbers for all of the Growers from the company for that period can be printed next to the Grower’s averages, if desired. That lets the Grower see how their product did as compared to other Growers in Produce Magic Software.