CAN YOUR ERP DO INVOICE WISE PROFITABILTY?
Welcome to another series can your ERP do this?
Can your ERP do invoice-wise profitability?
Each line item-wise profitability?
SAP Business One can do that by providing you the realistic picture of what is the cost involved to produce a material or purchase a material and landed cost involved into it. You will very clearly know what is the gross profit analysis on each line item wise of your invoices. If it is a produced material you can include all your operating cost and get to know what your product cost is and against the product cost what is your selling price. Thus, SAP Business One very clearly show you the gross profit analysis of that particular produced material. If you are a trading company or wholesale distributor, you can even see what is the cost involved in getting the material to your campus which includes customs duty, demurrage cost and various cost which can be booked to the material as a landed cost. So that when you sell an item you know at what price you are getting the item and at what price you are selling the item. Thus, SAP Business One shows a clear picture of what is the gross profit of particular item when you are selling to the customer. Based on this you can check your profitability, procured material at higher rate or higher margins, total gross profit of particular material at report level which looks smaller in percentage but bigger in value. You can always see into it in the sales analysis report.
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