This article was published on: 1/02/19 7:26 AM
FIDERE Engineers & Services is a leading solution provider for all kind of automation challenges in a diverse range of industries including designing and installing control and monitor equipments for industrial plants and medical institutions, facilitating them with providing hardware and engineering expertise.
Founded in Kolkata in the year 2001, with an aim to provide high quality engineering solutions, Fidere enjoys an impressive list of clientele including IITs, Larsen & Toubro, Delta Industries Automation, Exide and several renowned medical institutions.
Fidere was looking for a business solution for their trading operations – majorly due to the fact that their previous business solution had limitations which could not be ignored any longer. The most important concern for them was the automatic re-allocation of Excise duties from their purchase documents to their sale documents.
During their procurement process Fidere purchased their trading goods in batches. Each batch is defined depending upon the Excise duty levied on the individual items. All the items having the same Excise duty are put under one batch.
For example, a single purchase invoice for 10 units of Battery A included 3 batches of the product. The first batch included 3 units of Battery A on which Rs 30 per unit of excise duty is levied. The second batch included 5 units of Battery A on which Rs 40 per unit of excise duty is levied and the third batch included 2 units on which Rs 50 per unit of excise duty is levied. Also, each individual item had a unique serial number for identification in the selling operations.
While recording the sale transaction of a particular product, the customer is charged the exact amount of Excise duty which was levied on Fidere during the purchase process of that individual product by its vendors. Therefore the Excise Invoice prepared for the Customer not only included details of the Excise duties levied during the sale but also all the excise details of the product from the purchase process as well. In a normal environment each excise invoice included multiple products with multiple quantities. This meant an elaborate calculation was required to be done before the total excise value could be derived and transferred to the tax invoice.
Since, Fidere’s previous business solution could not handle such reflection of the excise duties in the sale documents, manual calculations had to be done over spreadsheets every time a sale transaction took place. With the increase in the volume of business this had become a near impossible task for Fidere to perform.
After analyzing all the available scenarios exhaustively presented to us by Fidere, we were able to provide a solution appropriate to them. Using EXPAND they can create separate Goods Inward document (GRN) for each of the batches in a particular Purchase Order and they can tag all these GRNs under a single Supplier Invoice. Through EXPAND we provided sections through which the user could record Excise details such as the values of Excise, Edu Cess, Higher Cess in the GRN document itself. Also in the GRN document the user has the provision to record the serial number for each individual item. Thus a single GRN document not only represents a particular excise duty for the product that was charged during the purchase process but also the individual serial numbers as well.
While recording a sale transaction, the user is only needed to select the serial number of the product in the delivery note (DN). The system automatically identifies the product by the serial number, fetches all the excise details from the purchase documents (GRN) and calculates all the excise values with respect to the quantity mentioned in the DN and reflects them automatically on the screen.
While creating the Excise Invoice the user is only required to tag the relevant Delivery Note and since all the information is already available in the DN there is no need to fill in excise details once again. The user just saves the document and he is able to procure a printable format of the Excise Invoice with all the calculations made accurately.
Therefore it has helped Fidere save a considerable amount of time and effort in their purchase and sales documentations by reducing manual entries and making complex calculations easy with the click of a button.