Lowering Operating Costs

1. Lowering Operating Costs Dani Kaplan

2. About SMC Data Systems • Established in 1980 • VAI Dealer since 2000 • Dani Kaplan: Trusted Business AdvisorPhone: 917-647-2466 • http://www.smcdata.com

3. The New Reality of Today’s Economy Gain a marketing advantage. Improve your ability to face the Competitors’ Challenge. Achieve flexibility. Be more responsive to changing market conditions. Manage costs more effectively. Lower operating and financial costs and maximize the exploitation of the firm’s resources. Plan intelligently for the future. Meet bank demands. Accelerate your business. Having the right software platform in times of crisis is essential.

4. Complete General Ledger Integration Accounts Receivable General Ledger Purchase Orders Accounts Payable Inventory Cash

5. Cost Reduction of Newly Received Inventory Computer information is updated in real-time mode Accurate Shipping Shipped inventory is scanned, freight is calculated and the invoice can accompany the shipment. “Cross-Docking” Open orders are shipped off warehouse dock. The balance of inventory is then stored in warehouse. Cycle Count Locations and bins are scanned on a regular basis and any misplaced inventory is found. “On the Water” Inventory in transit is monitored and information is available to the end user.

6. Receipt Inventory in locations and bins is scanned, enabling the end user to know what is available for sale. Cost Reduction of Automated Warehouse Computer information is updated in real-time mode Scanning Results Inventory is scanned, picked and shipped, resulting in 99.5% accuracy. Cycle Count Locations and bins are scanned on a regular basis and any misplaced inventory is found. Scanning Results

7. Forecasting The computer suggests what to buy based on sales history, avoiding one-time, “big sale” spikes. Purchase Order System Cost Reduction Computer information is updated in real-time mode Seasonal Items The computer suggests what to buy and from whom based on sale and vendor delivery history. Purchase Order Verification Purchase Order Verification The computer checks if the correct quantity was delivered at the agreed-upon price. Seasonal Items

8. Returns Freight Amount Invoice Cycles Shipped inventory is automatically invoiced, resulting in short invoice cycles and reduced labor cost. Invoice Cycles Accounts Receivable Solutions Computer information is updated in real-time mode Freight Amount Prior to shipment, freight is automatically added and the invoice accompanies the shipped inventory. Returns The computer is updated with returns information, reflecting the new inventory status.

9. VAI Software Distribution Management Manufacturing Management Financial Management E-Business Enterprise Management Software Retail Management Food Processing Food Distribution Warehouse Management

10. Return on Investment Case Study: American Diagnostics Corporation “ With the VAI system pricing errors have dropped by 80%. At the same time, product scanning in shipping at the packing station has enabled us to increase shipping throughput by 60% and reduce errors for an accuracy of 99.95% on order lines shipped. – Mr. Marc Blitstein President, ADC ”

11. How to Control Your Company's Hidden Costs How Software Automation Can Reduce Operating Costs and Improve Profit Why You Must Integrate Your Website with Your Back Office System www.smcdata.com/articles.html Published Articles Sharing supply chain software solutions expertise for more than 30 years

12. Contact Dani KaplanTrusted Business Advisor Phone: 917-647-2466 http://www.smcdata.com