Management

FME Business Operations Walkthrough

This is an opportunity for an FME business to test some of its business processes.

Set-up for Walk-through

* Each business will create one team. The team will consist of the following representatives of the business:

* 1 person from the Accounting department (not the CFO) – assume this person controls the cash.

* 3 sales people. Please make sure that at least one is not a part of the sales organization. The VP of sales should not be part of this group.

* 1 person from the Operations Department (The COO is not to be chosen).

* 3 people who will be “the customers.” The customers can be anyone from the business except the CEO, COO and the CFO.

* Everyone else will be observers.

* The CEO, COO and CFO of the FME business will be responsible for creating the “pulse report” for each week of operation.

* Each business should bring their internal documents to class for the walkthrough. Some examples of these documents are:

* Receipts given to customers

* The documentation sent to accounting to inform them of sales made and cash collected.

* Inventory control documents (i.e. the documents that help you keep track of inventory ordered, received, handed-out, and sold.)

* Any other internal documents that you would need to run your business operations and keep track of transactions.

* PLEASE bring enough copies of your documents to enable each team to process 20 sales orders and to reorder inventory, if necessary.

* The HR department of each business is responsible for creating the teams. The walkthrough will take place on Thursday, January 26, 2012.

The Walk-through (Overview)

* The team will be able to purchase 100 pieces of initial inventory. The initial inventory will be delivered right away.

* The product sells for $10 and costs $6 to buy from the supplier (the faculty/mentor team).

* All sales are delivered at...