Especially for You Jewelers is a small jewelry company in a college town. Over the last couple of years, it has experienced a tremendous increase in its business. However, its financial performance has not kept pace with its growth. The current system, which is partly manual and partly automated, doesn’t track accounts receivables sufficiently, and the company is finding it difficult to determine the reasons why the receivables are so high. The company runs frequent specials to attract customers but has no idea whether these efforts are profitable or if the benefit—if there is one—comes from associated sales. Especially for You Jewelers wants to increase repeat sales to its existing customers; thus, it needs to develop a customer database. It also wants to install a new direct sales and accounting system to help solve the outlined problems.
The new direct sales and accounting system for Especially for You Jewelers will be an important element in the growth and success of the jewelry company. The direct sales portion must track every sale, be able to link to the inventory system for cost data, and provide a daily profit and loss report. The customer database must be able to produce purchase histories to assist management in preparing special mailings and special sales to existing customers. Detailed credit balances and aged accounts for each customer would help to solve the problem with the high balance of accounts receivables. Special notice letters and credit history reports would help management reduce accounts receivable.
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