Name: Michael Thomas

Date due: 12/05/10

1
 Table of contents

Title page--------------------------------------------------2

Table of content---------------------------------- -------3

Overview--------------------------------------------------4

Introduction-------------------------------------------5 -13

Summary-------------------------------------------------13

Sales Data-------------------------------------------------14

Labour-------------------------------------------------15-19

Absenteeism and punctuality-------------------------- 20

Inventory and Inventory System-----------------------21

Promotion----- ------------------------------------------- 22

Miscellaneous---------------------------------------------22

OVERVIEW

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The sales and profit performances gives mixed results for the Outlets during April 2010.
Old Harbour and May Pen’s sales were $ 6.89 M and $1.96 M respectively. The profit
performance was also not very encouraging. The total sales performance was 88.58 % of
target. Old Harbour target was exceeded to be 114.90 %. However May Pen had under
performed to a low of49.10 % of target.

The overall profit was not healthy at 58.80 % of target. The individual performance were
76.50% and 32.25 % of target for Old Harbour and May Pen respectively,

Audley Martin now fully immersed as the Supervisor for the May Pen is encountering the
‘heat of the moment’ and hence the low sales can be attributed to situation. Old Harbour
is having no such problem and continues to stride fairly successfully on back to back
good performances.

Special events were

Warehouse preparation
Annual Stock count
Yard Sale
Workers time off
Re-assignment of workers during the cross training exercise

No attendance report was forwarded by the HR manager. Dane Johnson attendance and
punctuality again was poor. While, June Marsden has improved ten fold.

The counter point system is now open once more. The problem arising from this is there
will be little checks and balances. This will led the system to be out of balance on a
canter. The suggestion is that the system should be ‘locked’ so that we are force to
reconcile the inventory whenever there existed difficulties that prevented us from selling.
There are now new policy set out by the MD to guard against lost of inventory goods.

The M.a.c.k and Delta Daihatsu truck worked with about 65 % and 60% reliability
respectively. The freight liner tipper body truck was introduce to Master Blend Feeds
hauling process but this did not materialized as the assigned driver stood us up.

Inefficiency of our pick-up and delivery systems continue to plague the Outlets. The main
concern is the unreliability of the casuals.

Gladstone Williams and Ms. Samara Wilson continue to be our stand out workers. To this
end a proposal is put on the table to offer a token of appreciation to these workers who
performed very well over time, say every three months.

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 INTRODUCTION
It will be seen how the fortunes of sales changed during a month’s period for the May
Pen Outlet. However, the Old Harbour branch held its own. Both Outlets combined to
record a total of $8,858,168.33 for the month of April 2010.The conversion to
international currency at 89.56 gives a total of $98,907.64.

Old Harbour and May Pen contribution were $ 6,893,992.04/5,224,559.54 and

$1,964,176.34/$4,743,772.59 respectively. The sales were recorded during a 23 days
span; 4 weeks month. The total efficiency factor was 88.58 % of target of
$10,000,000.00.

May Pen have failed this time around. The sales were below acceptable level at 49.10 %
of target of $4,000,000.00. Suffice to say Old Harbour branch exceeded it target of
$6,000,000.00 by recording 114.90% of target.

The profit fell by $ 289,983.78 to $1,469,981.05 from $1,759,964.83 recorded in March

2010. This was 16.60 % of sales but decreased in value by 16.48% to March 2010.

The Old Harbour and May Pen was $1,147,503.99/$1,051,960.53

and$322,477.06/$708,004.30 respectively. These were 16.65 % and 16.42 % of the sales
of Old Harbour and May Pen respectively. The target percentages were 76.50/70.13 %
and 32.25/70.80 % again for Old Harbour and May Pen respectively.

Comparison between March and April 2010 reveals that the overall sales and profit fell
by $1,110,163.80 and $ 289,983.78 or 11.14 % and 16.48 % respectively. However, Old
Harbour had increased in both sale and profit of $1,669,432.50 and $95,543.46 or
31.95% and 9.08% for sales and profit respectively. May Pen Outlet performed below
expectation to record decreased sales and profit of $2,779,596.25 and $235,652.10 or
58.60% and 42.22 respectively.

The month of April 2010 left behind few significant issues.

 The rapping up of the annual stock

 The beginning of the new financial year
 A yard sale at Old Harbour.
 Cross training transfer.
 New policy regarding stock responsibility.

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Annual stock count

The annual stock count was held between March 29, 2010 and April 04, 2010. Mr.
Robert Campbell was put in charge of the count for Old Harbour and Mr. Samuel Harper
for May Pen’s. According, the May Pen’s count went well and was posted within
reasonable period after the physical count. However, the Old Harbor count was a
different story.

Mr. Campbell and Mr. Perez Prado was in charge of preparing the stock and warehouse
for the annual count about 1 ½ weeks before the start of the count. The counters,
supervisors of the counters, physical layout and shelves identification was about 90%
ready on the day the paper works were not. Hence, we had a late start on the morning of
March 29, 2010.

The count sheets were late and created some anxiety as they were not from the counter
point system. This reaction from the workers were expected as they were not exposed to
these sheets before. However, we manage to calm them down by sorting out the many
variances.

The variances were related to:-

the item numbers were not attached to the right items

Shelves numbers were incorrect
Multi- items in the shelves
Counters with wrong count sheet.

These difficulties were sorted out and the count continued to be completed on Monday,
April 3, 2010.

The real shocker was that the system was not lock by Accounts before the start and hence
the integrity of the count was in question. We managed to get over this hurdle however,
the final result after posting revealed that our stock dollar value was much less than what
was expected.

Few things were apparent

1. The count was inaccurate

2. The categories we unlocked
3. We will have to count these categories again and then relock the system
4. The numbering of the shelves were incomplete and not posted in the syste
5. The shelves numbers are not reflected on the printed invoices.
6. The stock cards were not updated with the stock count figures.

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 The new financial year started on April 01, 2010 and will run to March 31, 2011.
The just concluded year April 2009 to March 2010 gives figures accordingly.

1. Sales
2. Profit
We were urge to create a 10 % increased in profit and hence sales must be
increased accordingly.

Yard sale

A Yard Sale was held at the Old Harbour compound from April 29 to May 01,
2010. Find details attached as appendix.

Cross Training

Cross training exercised continued with the retransferring of Samara Wilson

and Narda lee burke. However, this move was necessary as we are moving to
improve the accountability of the stock under the purview of the Stores. Miss
Wilson was taught to possesses more quality and were preferred to Ms burke
and Mitchum Thomas to undertake the task.

Stock Responsibility

New policy regarding the accountability of the stock was issued by the MD.

1. The stock responsibility for a individual

2. The stock cards will be audited by a member of the Accounts team at
certain intervals.
3. Any lost in stock will be have to be reimbursed by the whole department.

I will write to solicit the powers that be to create useful documented policies to assist the
daily managing of the Outlet. Too often we I have being under the spotlight for carrying
out my duties. My job has been multiply harder because when a worker is penalized for
breaking the rules of the company there is a set of individuals who always feel

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sympathetic to them and start to react maliciously. I am suggesting that the policies are
made known to all and sundry. Hence, no ambiguity should exist as a result of ones
carrying out their duties.

The growing request for Pro-forma invoices was constant throughout the month. There
were new customers that came on board that needed many pro-forma invoices. However,
we were marooned by the Accounts department setting up the system so that we could
not access most of the items needed by the customers. Ironically, these items could be
picked up by Wholesale and May Pen accounts. This certainly seemed like somebody is
playing a double standard game design to harm someone. It is unfortunate that it will be
the company that will be harmed.
.

Sweeping changes made recently to the inventory system have created only undue
hardship to my workers and ton loads of frustration to my enduring customers. However,
the balance and reliable inventory accounts that we so desperately needed have not
arrived. What we are experience is an inventory mire in conspiracy and confusion.

There is no doubt that our inventory anomalies start from the counting stages, the
entering of data, the posting process and lastly the closing of the counting process. I will
lend my ideas on stock count processes.

 The stock counts are a series of action that are done to achieve a particular end.
Hence it is a process.

 There should be stock count teams led by the personnel that enter and post the
data during a specific period. The leader of the teams is the live blood of the count
to which the reliability and accuracy of the count depends on. The team leader
should be equipped with the basic knowledge of entering and posting of the data.

 The teams should be manageable, say four (4) persons maximum. There should be
a computer readily available for the entering and posting of the data.

 The stock count should be closed after all the data are entered and posted
 Areas of interest are :-
1. The size of the categories vs the size of the teams
2. No rechecking after the stock count
3. A computer terminal must be available to all team leaders
4. The team leaders must meet every day for debriefing and
progression report

 The discipline of the team – the process is one-off and as such we get in, do our
job and get out. There are no time or space for the persons that are indiscipline
and not business oriented.

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  The cost of the teams- stock count is a necessary process that is not profitable and
hence the cost of operation should be kept to a minimum.

 Reports must be written by all team leaders and sent to the manager of the
department to be vetted and turned over to the Accounts department. These
reports can be a structured formed reports or a memo indicating time started and
completed, categories, teams, behaviour, difficulties and recommendations.

The forecast for sales again appears to be bright against the damming effects of the new
and grueling tax package brought on by the I.M.F and the government of Jamaica. The
many pro- forma that was sent out has not returned to fruition as yet. The only thing I am
worried about is the difficulties the customers experience in getting these pro-forma.

The May Pen Outlet has started to produce relative good sales and profit. It always
appears to be capable of producing just the same as Old Harbour. I am also still
maintaining that selling $1,000,000.00 on the average is a possibility at Old Harbour
bearing in mind that there are very little support from the key members presently.

While the customers are still finding us a good place to spend their money our customer
service is lagging behind. The customer service is the biggest constraining arm of the
Outlet. The deliveries may be cheap but the scheduling and utilization of the manpower
has left a whole lot to be desired.

We continue to wrestle with the Sales staff to begin the process of recording a list of the
items of the customer’s needs and forwarded it in a timely manner to the Stores inventory
personnel. There also existed the lack of internal customer service from them to the
management. The resulting factor is that we are reactive instead of being pro-active to
our customer’s needs.

The Stores staff, led by Ms Marsden, the Supervisor is operating at an unsatisfactory

pace. Very low efficiency is the order of the days. There are difficulties with the Purchase
Requisition and Order production, timeliness and accuracy. The utilization of the
available man-power is also questionable. The delivering and picking up of goods are not
been handled with much imagination. The bottom line is that we seemed to be behind the
hate ball too often.

Creeping back into our operation is the sending of customers to Wholesale by

unscrupulous individuals. We need some strong policy upgrading to curtail and wiped out
the practice for good. Certainly, I am will to give up all goods that I am selling in whole
sale quantities if Wholesale stop taking my customers and naming them “ Cash
Wholesale” to disguise the fact.

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The department is also wrestling with the service from Accounts. There were two
occasions when we were unable to get goods to replenish our stock. On both occasion we
had exceeded our credit limits before the thirty day payment period. Accounts were
adamant that the bills will be paid according to the thirty (30) days credit period even
though we have sold off all the goods that we had purchased. Suffice to say we
negotiated with our customers and prevailed to the extent that we did not lose any
business.

The May Pen Counter Point system came on stream at the start of the month of February
2010. However, this was not mandated officially. We jump on board nevertheless as it
certainly makes life much easier.

There were not any noticeable changes to the efficiency of the Old Harbour counter point
system. We are still grappling with the lack of balance to the inventories; zero, negative
and improper balances are the order most days. Recently, the problem escalated with the
inclusion of the May Pen account on to the system. We were invaded with new problems
with our profit margins. There were random and involuntary changes to our cost prices
such as May Pen staff were surprised by the increased of some type of cables. The annual
stock count is the end of March 2010. I am endeavour to put the Stores in good condition
so that counting will be seamless. The Managing Director again has issue a directive to
the effect that the counters must be the same personnel that works in the various
department or branches. This seemed quite a brilliant idea and we only need to tweak the
system to make it works.

The persistent absence on Saturdays of June Marsden, supervisor of Old Harbour branch
and the Delta Truck driver, Jeremiah Bedward have persisted. Although these absences
have had little impression on our operation, they might send a signal of disquiet to the
others and may affect the operation if others join them.

Mr. Ricky Browne has indicated of his intention to resign from his post as the supervisor
of the May Pen Branch. This was accepted and will be effective on February 15, 2010. A
new replacement has been found and will be installed on Tuesday, February 16, 2010.
The new recruitment is Mr. Audley Martin who was firstly assigned as a Sales
Representative to the Old Harbour branch took over the reign of supervising the May Pen
Outlet. Had a very impressive start. However, there are a whole lot of work to do so that
we can create and sustain growth in the tough economic climate.

.
The attendance and punctual report for February 2010 was forwarded to my desk in early
March 2010 by Mrs. Patricia Palmer- Human Manager. The underling factor arising from
the report was that June Marsden was handed a 5 days suspension for a third culpable
offence of being habitually late 11 times during February 2010. However, after much
hand wringing by Mrs. Palmer it was withdrawn and reissued with a first offence of being
habitually and given a warning.

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Memorandum was issued to Norda-Lee Burke advising her to carrying her work more
particular as do physical counts of the stocks when reporting stock balances.

Mitchum Thomas has performed below par with his assignment as inventory cards
updater and as the team member responsible for the upkeep of the stock in the Stores.
However, he has been doubling up as one of the side hands whenever we have high
intensity labour work. That is to say for example 1,000 concrete blocks to be delivered.
Hence, even though poor work related memo was prepared it was withdrawn since his
excuse was accepted. However, he has received a verbal warning to stop wasting time.

The other work related issue worth mention is the fact that Mr. Coote finally grasps the
understanding of banding up the lumbers in bundles until they are ready to be sold. For
many months the methods and concept have been explained to him repeatedly.
Frustratingly, the lumber defects keep on appearing as they were not dealt with in a
timely manner. Finally the understanding came. I am sincerely hoping that we will see
less damaged lumber from now.

The following is related to the trucks and forklifts.

The M.A.C.K.

• Worked admiral able through out the month only needed gas oil and coolant
• Needed to be passed by the examination depot inspectors soon.
• Needs power wash

The Delta Daihatsu

• After much ramification the truck problems appears to be finally settled-

According to the electrician, Mr. Blackwood the excessive turning over of the
engine at start-up was causing the electrical wires in the loam to burn off the
insulation and hence shunted and malfunctioned. The cost -$8,000.00

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  Mr. Bedward, the driver frustration, inexperience and lack of mechanical
experience was again evident during the month... The truck was shuttling to and
from the repair shop as these many complaints we attended to.

The Freight Liner

 Worked very well but sparingly. However, the forecast is suggesting that a large
amount of work will be sent its way soon- Cost – Gasoil and coolant was only
needed.
 40 tons of wash sand
 34 tons of construction gravel
 4 tons of granite sand
 Mr. Neville Bailey was used to drive the truck for three trips during the month @
$3 500.00. owed $1000.00 for a fourth trip.

• The May pen Hyster Forklift

(2) 650-10 pneumatic NHS wide wall tyre @ $21,700.00 not installed. One 5 gallon pail
of hydraulic oil was needed.

The factors that are affecting sales are mainly from previous monthly reports. These are
repeated to drive home the point:-

1. The absence of a foreign money exchanger unit - Bill Express; Money Gram;
JN Money to name a few, has become a staple at Hardware locations. The new
thrust is for the customer to do all their business at one location. Therefore, we
should move to creating an atmosphere that encourages multi activities of the
customers to be done at our business site. To this end I have gained access to a
representative of Western Union/Bill Express; Alitash Brown who I am
expecting to guide us through the process of installation.

2. Food for though- we could be manufacturing doors, marble counter tops,

concrete blocks. To name a few. There is enough land space to conduct new

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 business activities such as building a Caribbean Cable Plaza; An all inclusive
plaza with banks, supermarket, government offices ect; ect.

3. Very poor customer service-This is our main deterrent to continuously good

sales. Your truly have been asking Mrs., Palmer to conduct internal training but
got only empty promises.

4. The lack of Advertisement- There should continuous advertisement juggling

between the community and national airing of our products and services. The
excused for not going national advertisement because we might have backlash
from our business partners, do not hold waters this end. The only way we can
achieved our goals and financial targets is to gain new market share. We have a
need to expand our business or suffer the consequences. Some of the immediate
drawbacks are
i. Having in our possession two aging trucks
ii. Disgruntled workers who complaint of been underpaid
iii. Aging infrastructures and machineries need retooling
iv. Too low capital investment- causes infrastructure to be outdate and
inefficient.
4 Renovations of our signage- major upgrading works are needed to be done on our
signs. Both inside the premises and out on the roads where they are installed for
. eg on our Main Gate, Claremount and Mineral Heights housing scheme have
il dilapidated signs of the company in a state of despair.

5. To improve- the visibility, flexibility and effectiveness of our invoice signers I

am recommending that that the office of the signers be removed to the outside of
the factory, immediately beside the Lumber Yard

6. Stop buying and selling in the same market.- This method of doing business
might reduce our operational cost but diminishes our earning potential. The same
systems that are used to imports raw materials for the factory can be used to
source goods for the Outlets. I am aware that our accounting of the stocks and
balances are not up to a acceptable standard but, we have come along way
recently. I suspected with the new measures employed we should get better over
time. When we reached the point where we are comfortable with our checks and
balances then the next step is to maximize profit. This simple mean that we will
have to think outside of the box and start seeking the most economical method of
re-stocking our inventories.

7. The printer paper-

• At 9 ½:”x 11”x 4 copies clearly the printer paper is too much. We could be
using say 3 1/2”x 6”x 4 printing paper per invoice. I am aware that this is not
an easy fixed but worth looking into. If we are looking to strangle
inefficiency then all aspect of our operation must come under the microscope.

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 8. Pro-Forma

• Recently the department has been grappling with the inability of not been
able to provide pro-forma invoices to our customers for all items. The
Accounts department and the System Administrator have set the system to
operate as is. We have been embarrassed many times as we feel around
like groupies trying to find someone from Wholesale to complete the
process for us. Items such as construction materials, tiles odd size widows
are not stock on the compound and hence do not appears in our inventory.
And these are frequent items that our customers need on pro-forma. The
million dollars question is how come Wholesale can create pro-
forma/quote with these items and Retail cannot. IS THIS A
CONSPIRACY?
N.B. I have asked Mr. Scott to allow the computer on my desk to be able to do
pro-forma invoices as done by Wholesale. However, I have been waiting
going three weeks now and no positive response to date.

Summary
February 2010 out do January 2010 by $1,691,781.43 to record $9,510,926.00 for sales
and $1,719,879.35 for profit earned. There were four weeks in thje month, utilizing 46
days by both Outlets. Old Harbor recorded sales and profit of $ 5,555,710.40 and
$1,181,136.74 respectively. May Pen was good with sales and profit of $3,955,215.60
and 538,715.61.

There are good signs in the forecast as many pro-forma were requested. However, our
internal and external customer service continues to be below expectations.

The difficulties with the computer stock variances have subsided. We are not out of the
woods as yet but we are getting there. The annuals stock will be the end of March 2010
and I am endeavour to bring the warehouse to a level of organization so that a successful
count will be achieved. This stock count will be a defining period at the Outlet and hence
no effort will be spared to do the necessary to get the stocks and storage capacity in order.

Our stock is approaching a level that we can manage readily. However, we still have
problem with stock balances, stock re-ordering and system variances.

Memos were issued one senior members of staff advising of measures to improve her
daily function. June Marsden continue to be habitually late and will be issue a
disciplinary letter soon.

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 We have drawn thirty tons of ½ “rebar steel from Tank Weld Metals during the month,
balancing five tons.

The stock is good, the customer base is strong and the operating systems are in place. The
only danger to our performance is the service we offer to our customers. This is against
the background that we were unable to create Pro-forma invoices as readily as were
necessary.

Mr. Audley Martin replaced Ricky Browne on Tuesday, February 16, 2010.He has shown
that he is the right man for the job. His effort level has push up the sales performance to
almost $ 4 million JA dollars for the month. Ms Morant will report to him as we seek to
tweak the Outlet performance to an accepted level.

God Bless you.

Sales Data
Monthly Sales

Monthly Sales

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 OLD MAY PEN TOTAL
DATES HARBOUR
WEEK #
06-10 Apr 2010 1 1,078,768.21 728,495.36 1,807,263.57
12-17Apr 2010 2 1,188,497.21 309,599.37 1,490,096.58
19-24Apr 2010 3 2,001,307.73 309,464.07 2,310,771.80
26-01May 2010 4 2,625,418.89 558,129.16 3,183,548.05

TOTAL
4 WEEKS 6,893,992.04 1,964,176.34 8,858,168.38

Monthly Profit

OLD MAY PEN TOTAL

DATES HARBOUR
WEEK #
06-10 Apr 2010 1 272,750.32 127,467.78 400,218.10
12-17Apr 2010 2 255,838.47 42,684.40 298,522.87
19-24Apr 2010 3 345,262.40 78,820.87 424,083.27
26-01May 2010 4 273,652.80 73,504.01 347,156.81

TOTAL
4 WEEKS 1,147,503.80 322,477.06 1,469,980.86

16.65 % 16.42 % 16.60%

Labour

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 The staff complement below representing the Outlets complement for April 2010. There
were a total of sixteen workers for both Outlets. Old Harbour has ten (10) while May Pen
has six (6). There was no resignation during April 2010.

.
.
The record shows the following:-

a) Samara Wilson – transferred to Stores

b) Norda Lee Burke – transferred to Sales
c) Mitchum Thomas – reported injured at a critical junction during the annual stock
count. Still unsettled in the job of inventory cards updating, housekeeping duties
at Old Harbour and doubling up as a side hands on the trucks. Complained of
being tired hence was given time off.
d) June Marsden- Has improved.
e) Dane Johnson- huge liability

The following staff complement is located at the following Outlet

Old Harbour May Pen

Supervisor –Ms June Marsden Audley Martin

Store clerk- Denise Morant; D.Francis
Inventory cards- Mitchum Thomas
Inventory Clerk- Norda Lee Burke Denise Morant
Drivers- Mr. G. Williams J. Bedward same as O/H
Cashier- Ms Yvonne Barrett Teleta Reid
Sales- S. Wilsonr
Bobbin Yard- O. Perkins- Factory/Stores
In-bond stores- U. Thomas-Factory/Stores
Casuals- Mitchum Thomas; D.Johnson K. Turnbull
E. Coote; R. James.
Carpentry shop- L. Mills-Factory/Stores
Ancillary staff – Ms. Alwood Mrs. G. Bell / A. Powell.

There were a total of 2,758 /2912 man-hours available for use during the month of April
2010 that has 46 working days. I.e. 23 days each for Old Harbour and May Pen. Old
Harbour utilized 1726/ and May Pen used 1,032 man-hours.

16
Again, Mitchum was injured on the job. We lost a total of about 50 man-hours due to the
accident on March 29, 2010. It was alleged that one of his leg fell through a hole on a
shelf causing injure.

The total sales per man-hour were $3,211.80/2,838.52/. Contributing to this figure was
$2,925.32 and $2,686.61 for O/H and M/P respectively. Compared to February 2010
there was an increased of $373.28 or13.15%.

Performance was marred by internal constraint as the counterpoint system was uploaded
to be operated as the default system as of February 8, 2010. Before we had a situation
where the computer at the point of sale went dead and curtailed the efficiency and
reliability of the operation.

Old Harbour’s profit per man-hour was $593.85. May Pen’s profit could not be computed
and hence no overall profit figures were available. There was a decrease in the Old
Harbour profit per man-hour of $42.29 or 6.65 % decline to December 2009.

The output of sales and profit has increased relative to December 2009. However there
are some nagging difficulties existing with our workforce that led one to ask the question
of are we maximizing our potential? I certainly think that we are losing out having
workers on our roster that is far from efficient.
.
When compared to December 2008 the increased seemed rather significant as our staff
has slim down to a reasonable proportion. The second reason is that we are experiencing
severe resistance from workers in key position. For example Lori-ann Jones has created
many problems from her desk in Purchasing. There are problems such as missing
Purchase Requisition and Orders to untimely printing and or faxing off these instruments.

We are presently in the process of building a team to make the business profitable. We
are at the upper level or reorganization and should be moving to the operational level
very soon. A budget to direct the spending potential will be assigned soon. It will be
important to cut the fat or any excess man-hours we are carrying. One of my first
obligations is to ensure that all man-hours that the company paid for are used to create or
sustain sales. June Marsden tenor as the Stores Supervisor needed to be halted if we are
to get any where near the efficieny level needed. She seemed to be orchestrating the time
wasting tactics of the workers. We need someone in her position who takes the
responsibility of the job personally.

17
 Comparative Data

December 2009 comparative data

The sales per man-hour were

Overall sales per man-hour were = $2,838.52

O/H sales per man-hour were = $2,925.32

M/P sales per man-hour were = $2,686.61

The profit per man- hour ratio

Overall profit per man- hour ratio = $ 535.18

O/H profit per man- hour ratio = $636.14

M/P profit per man- hour ratio = $375.18

November 2009 comparative data

The sales per man-hour were

Overall sales per man-hour were = $2,570.03

O/H sales per man-hour were = $2,475.95

M/P sales per man-hour were = $2,745.48

The profit per man- hour ratio

Overall profit per man- hour ratio = $ 519.75

O/H profit per man- hour ratio = $528.92

M/P profit per man- hour ratio = $502.74

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 Comparative Data

October 2009 comparative data

The sales per man-hour were

Overall sales per man-hour were = $2,881.77

O/H sales per man-hour were = $3,240.29

M/P sales per man-hour were = $2,246.55

The profit per man- hour ratio

Overall profit per man- hour ratio = $ 568.60

O/H profit per man- hour ratio = $670.87

M/P profit per man- hour ratio = $387.40

I would like to see the business managed as appropriately as possible.

Discipline must be maintained at all level. All that had been said to say
that I expect to discipline the workers according to the disciplinary code
and from the management point of view whatever benefits that is due to
them they should get them.

Also it is not healthy to keep workers that are bad or those that continue
to break the rules or policies of the company. The cost/benefit ratio
never works in the favor of the company with workers undermining the
management of the company.

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 Absenteeism and Punctuality

The excerpt from the attendance repot for February 2010 was handed in by Mrs. Patricia
Palmer - HR manager. Accordingly, the punctuality was good except for June Marsden
whom was late eleven (11) times during the month. She will be written a disciplinary
letter accordingly in March 2010.

Dane Johnson was absent four (4) times and late two (2). The other performance was
good except for Mitchum Thomas who was absent and late two (2) times repectively.

Inventory and Inventory System

The February 2010 sale of ½ inches rebar steel was 3793 lengths for Old Harbour and
May Pen together.. It would mean that we sold over 30 tons during February 2010. There
remain five (5) tons at Tank Weld Metals.

The selling price of a ton of 1/2 inches rebar steel per 123 length was $59,800.00 at the
start of the month. This price increases to $62,500 per ton and dropped to $60,350 per ton
at the closed of the month.The cost price -$46,337.79 per 123 lengths.

The computer balance showed that the Outlets sold 5792 bags of cement during February
2010. The physical at the end of the month was 504 bags at O/H. However, the record for
May Pen was not available

There were no price changes during the month and hence the cost price was $550/bag.
And selling price was $590/bag.

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Norda Lee Burke continued as the Inventory Clerk. Things were not smooth as she again
grapple the discipline needed to be successful in such an important role in the
organization. Accurate and timely ordering were her main defects. However, enough time
as elapsed for jelling on the job and work related disciplinary actions will definitely be in
order if she does not improve.

Mitchum Thomas was also given a new responsibility of keeping the inventory cards
updated. His responsibilities include getting the stocks ready for sale and advising the
Inventory Clerk of low balances. Again, he seemed as if he is struggling with the
discipline needed to do a proper job.

Promotion
February 2010 continues with many sales activities design to improve sales.

• Sales promotion- flyers for damaged and shop worn windows and lumbers
• Renovation of window display area.
• Renovation of lumber display areas.
• Lay the ground work for the installation of three A/C units at May Pen
• Sales Representative – Audley Martin to source sales on the road.
• Renovating existing signs
• Creating new signs
• Promotion offers from radio and television stations and media houses

The May Pen Outlet was painted interior, the safety grill and the front walls. A
signage was posted on the large side wall at the immediate right at approaching the
Outlet entrance. Total cost $50,000.00.

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 Flyers were done for both Old Harbour and May Pen. These highlighting the
products we have on special. Old Harbour flyers were done in-house and showcase
the windows on special for as low as $1000.00 + tax for a damaged window. May
Pen main showcase on the flyers were paints giving a 10% discount on all paints
purchased.

These turned out well as the sales port folio suggested; cost $6,000.00.

Other promotion issue has been the remodeling of a window display room to
showcase the shop worn, odd size, outdated and all the windows that are slow
selling. These windows will be affixed low prices to go.

We are also renovating the damaged lumber rack so that we will be better able to
store and display the lumbers reasons such as selling and stock counts.

Miscellaneous

I have embarked on a project to get signs printed to highlight the trucking department. A
sign artist was engaged to do the drawing. This is work in progress. However, other
similar projects are in the wings and depending on the success of this are hinged the
others. All the surrounding communities are sadly lacking our advertising signs.

Summary

Our customer base continues to be strong and growing. The stock level is relatively high.
We have enough systems in place to run the business efficiently. The infrastructures are
in place. We have in place some persons who seemed serious about work. I am
advocating that in a short while we should be singing sweet songs of success.

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God’s willing.

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