Totally Committed Tally

Bengaluru-based
UK
International, is a computers, peripherals and accessories reseller; an
authorized partner for HP printers, TVSE printers and APC UPS; and a
genuine Intel
dealer and Seagate premier partner for hard disks. It operates in 3
business streams-trading, corporate sales and retail. For an
effective business development, UK International implemented Tally
since its beginning and right from the DOS version.

QUANDARY
SITUATION

Inventory
management and warranty tracking are one of the most important issues
in computer
hardware industry. “On a daily basis, the company deals with lots
of customers and there are certain number of them who claim
replacement of a PC under warranty. It becomes impossible to
determine whether all the PC components were sold by the company,
unless, customer's details are tracked against the serial numbers
of each component. If the seller does not have all the details, then
he can be at
loss,” said Uday Holla, proprietor, UK International.

From the
warranty perspective, it is applicable from the time the stock
reaches the distributor, so accordingly products have to be moved
out in order to avoid inventory holding costs and turning it into
dead stock. And the most important is to maintain cash positions and
collecting outstanding dues from customers. With all these
complications in the hardware industry which operates in thin margins
and long-term credits, it becomes more challenging to operate it.

THE
SOLUTION

“When we
talk about system-driven problems, Tally comes into picture,” said
Holla. The company uses the customized software as per the
requirements and has been using Tally from its 4.5 version.
Currently, it uses Tally.ERP 9. Products received from vendors with
their own bar code affixed are scanned and the stock numbers are
generated automatically. Crossdocking is implemented effectively.

At the time
of generating invoice, the serial number and batch number of the
hardware components are captured, so that there isn't any loss. For
eg, if the selling price is less than the cost price, then the
system raises an alarm. This again proved to be useful while the
product is brought back for service or replacements. The stock number
is verified to check the remaining warranty period and also to
determine whether the item was sold by UK International or not. It
also helps in tracking the products as the system generates an SMS
if the product is dispatched to an outbound customer.

The software
helps to maintain records. The query based on the stock numbers and
details such as date of purchase, time duration of the product stored
on shelf before getting sold, balance, warranty, and based on these
records, customers are levied fines for late payments. For example,
if the credit is for some days and if the customer fails to pay in
stipulated time, on the very next day the customer will need to pay
the fine at an agreed rate of interest. The history of various quotes
are also tracked in Tally.ERP 9. For eg, if the quotation is
partially executed, then details of the pending order and the
timeline for delivery can be easily generated.

The bank
controller feature is one of the most important, as it helps in
managing balance number of cheque leaves, while indicating whether
the cheque has been issued or cancelled. Additionally, post dated
cheques are also tracked. “A very good feature called cheque
analyzer helps in all kind of cheque related issues,” pointed out
Holla. Tally is also interfaced with the biometric device for
tracking employee movement and eliminates the manual data entry of
attendance for payroll processing.

ADVANTAGES

The company
is able to track its sales performance with the collection report of
every salesman in
real-time. “We get maximum amount of work from the salesmen and that
too
on time,” said Holla. He added that as tracking is easy, the
salesmen get the collection of sales on time and incentives get
credited to them only after the payment is received on or before the
stipulated time. There is also enhanced warranty and inventory
management. The shipments have also improved from vendors as scanning
of bar codes with help from Tally has helped the company. Last but
not the least, the company has better cash flow via accounts
receivables. “It is a challenging software but if mastered, one
gets statutory reports, TDS, stocks and can generate payrolls and
various other things in one click. Basically, Tally has made work more
easier,” added Holla.

COMMENDATION

“It is a
wonderful software for an entrepreneur for an annual turnover of Rs
50 crore,” remarked Holla with satisfaction on his face. He added
that Tally has got immense features to enhance the productivity of
business.

COMPANY
SPEAKS

“Tally has
been effectively used from the time it was launched 24 years ago, as
a comprehensive business solution. Today it is India's largest
selling ERP. We are extremely proud and happy with the effective
utilization of our product by our esteemed customers,” said Shoaib
Ahmed, president, Tally Solutions. “It has given us immense pride
that businesses have been in a position to save time, and enhance their
productivity using our technology,” said Ahmed.