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An
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Accounting for Business

TABLE OF CONTENTS
1Organizational Structure 22Operational Problem 33System Acquisition 34Sales Procedure Flow Chart 45Energy Demand 56Accounting Software 67Market Size 78Competitive Advantage 79Problem & Suggestion 910 Reference11
Executive Summary
I have chosen the Woolworths Group; it is a supermarket chain and operating 995 stores across Australia. Woolworths have one lakh fifteen thousand team members in stores, distribution centres and support offices to supply client services. The company also knows that customers are looking or searching for new, straightforward simple ways in which to buy or shop.
The other supermarket that we compare is FoodWorks. It is one of the most common and famous supermarket in Australia. The company has now 500 stores. And annual sales $2 billion.
Organizational Structure
Woolworths is Australia’s largest supermarket chain. Operating 995 stores across Australia, Woolworths relies on the 115,000 team members in stores, distribution centres and support offices to provide our customers with superior service, range, value and convenience.

Woolworths prides itself on operating closely with Australian growers and farmers to make sure the simplest product square measure on the market to customers. Sourcing 96% of all contemporary fruit and vegetables and 100% of fresh meat from Australian farmers and growers. This makes Woolworths Australia’s Fresh Foods folks.

As one of Australia’s most innovative retailers, The company understands that consumers are looking for new, simple ways to shop. Consumers can shop from the comfort of their computer at home or on the train on their way home from work using the Woolworths Supermarket App and the best part is, their groceries can be delivered straight to the kitchen bench.

The CEO of the company is Brad Banducci.

1.1 Purpose
Building a customer and store-led culture and team
Generating sustainable sales momentum in Food
Evolving our Drinks business to provide even more value and convenience to customers
Empowering our portfolio businesses to pursue strategies to deliver shareholder value
Becoming a lean retailer through end-to-end process and systems excellence

1.2 Scope
Woolworths cluster restricted may be a major Australian company with in depth retail interest throughout Australia and New Zealand. It is the second largest company in Australia by revenue, when Perth-based retail-focused conglomerate Wesfarmers, and the second largest in New Zealand. In additionally, Woolworths Group is the largest takeaway liquor distributor in Australia, and also the most important and largest restaurant and recreation poker machine operator in Australia, and also the company was 19th largest distributor with in the world in 2008.

1.3 Limitations
1. Woolsworths will ramp up its online grocery offer by opening up to five new ‘dark’ stores in order to compete with Amazon.

2. Woolworths required improving its online shopping.

3. Limited Distribution capabilities.

Woolworths Group Limited manages a number of Australia’s most recognised and sure brands. We tend to endeavour to create a world-class experience for customer across all our stores and platforms.
Woolworths Group consists of three core businesses:
1.4. Sales Procedures flowchart of Woolworths
Back-end Flowchart: Back end flowchart will be referred because the operational chart, that is not usually visible to its finish purchaser or the customers. In my context, I would rather refer it as the process related to the back office tasks. As the company belongs to the retail industry, it faces a huge competition, not only in the region but also globally

Front-End Flowchart: We generally look after various factors and dimensions while purchasing a product from a particular store. There is a process, which the company follows in order to maintain its customer satisfaction and hence they try to keep their certain process transparent (Pollamarasetty and Potti 2016). In this, they generally focus on the customer satisfaction and their retention.

Description
The sales procedure flow chart of the company is best and easily understandable. The company first checks the market and also checks the stock of the material. After that making plans according to it. And then prepare the material according to demand and issue it. After at last delivering the material to the customer. And making the bill for customer. And then do the calculation by using the accounting software.////////
2. Companies Two Year Ratios:
2.1 Current Ratio:
Years Current Assets Current Liabilities Current Ratio
2017 7121 8931 0.80
2018 7181 9175 0.78

2.2 Quick Ratio:
Years Liquid Assets Current Assets Quick Ratio
2017 5877 8931 0.99
2018 6360 9175 0.70

2.3 Gross Profit Margin:
Years Revenue-Cost of Goods sold Revenue Gross Profit Margin
2017 16061 55278 0.29
2018 17156 57187 0.30

2.4 Return on Equity:
Years Net Income Share Holder Equity Return on Equity
2017 1619.42 9526 0.170
2018 1802.73 10481 0.172

2.5 Return on Assets:
Years Net Income Average Total Assets Return on Assets
2017 1619.42 23300.5 0.069
2018 1802.73 23905 0.075

3. Definitions of Ratios:
a) Current Ratio: The current ratio is a metric used by the finance industry to assess a company’s short-term liquidity. It reflects a company’s ability to generate enough cash to pay off all debts should they become due at once. While this situation is extremely unlikely, the ability of a business to liquidate assets quickly to satisfy obligations is indicative of its overall financial health.

Current Ratio = Current AssetsCurrent Liabilitiesb) Quick Ratio: The quick ratio is a measure of how well a company can meet its short-term financial liabilities. Additionally referred to as the acid-test ratio, it can be calculated as follows:
Quick Ratio = Current Assets-InventoryCurrent Liabilitiesc) Gross Profit margin: Gross profit margin is a financial metric used to assess a company’s financial health and business model by revealing the proportion of money left over from revenues when accounting for the cost of goods sold. One can calculate gross profit margin, also known as gross margin, by dividing gross profit by revenues.

Gross Profit Margin = Revenue-COGSRevenued) Return on Equity: Return on equity (also referred to as “return on net worth” RONW) measures a corporation’s profitability by revealing what quantity profit a company generates with the cash shareholders have invested.

Gross Profit Margin = Net IncomeShare Holder’s Equitye) Return on Assets: Return on assets (ROA) is an indicator of however profitable a company is relative to its total assets. ROA offer a manager, investor, or analyst an idea as to how efficient a company’s management is at using its assets to generate earnings. Return on assets is displayed as a percentage.

Return on Assets = Net IncomeTotal Assets4. Ratio about Company Description:
a) Current Ratio: The current ratio of the company decrease in 2018 as compared to previous year. The current liabilities still a current assets increase in 2018. And means that the company’s current assets are 0.78 times more than its current liabilities.

b) Quick Ratio: As per result the quick ratio is 0.99 in 2017 ; 0.70 in 2018.This means that company pays off all of her current liabilities with quick assets and still have some quick assets left over.

c) Gross Profit margin: Gross profit margin proportion tells us that company has 0.30% of its revenue left over after it pays the direct costs associated with making its cost of goods.

d) Return on equity: As we trend to see, after preferred dividends are removed from net income Woolworths ROE is 0.172.This means that each dollar of common shareholder’s equity earned $0.172 this year. This shows that Woolworths is a growing company.

e) Return on assets: The ROA is 0.075%. For each dollar of debt and equity the business taken on, it can return 0.075 cents in net profit.
5. Days Inventory Ratio:
Years Inventory Cost of Sales Days sales of Inventory
2018 3549 33194 39.02
2018 1222 189 6.46

Description:
The Graph shows that the inventory of the Woolworths is more as compare to Foodworks, and cost of sales of Woolworths is 33194 and Foodworks is 189.So according to comparison we say that the Woolworths has more Sales as compare to Foodworks.

References:
Appleyard, J.P., Bruce, E.J., Flores, R.H. and composer, J.L., 2015. International Business Machines Corporation. Service emulator substituting for backend parts to satisfy wants of front end parts, 2(1), pp. 87-94.

Dabholkar, P.A., 2015. A way to improve perceived service quality by increasing customer participation. In Proceedings of the 1990 Academy of Marketing Science (AMS) Annual Conference, 11(5), pp. 483-487.

Dos Santos, M.A., Svensson, G. and Padin, C., 2013. Indicators of property business practices: Woolworths in South Africa. Supply Chain Management: An International Journal, 18(1), pp. 104-108.

Fisk, R.P., 2013. Lmpression Management 26 In Services Marketing: A Dramaturgical Perspective. Impression management within the organization, 9(4), p. 427.

Laga, N., Bertin, E., Glitho, R. and Crespi, N., 2012. Widgets and composition mechanism for service creation by standard users. IEEE Communications magazine, 50(3), pp. 52-60.

Lovelock, C. and Patterson, P., 2015. Services marketing. Pearson: Australia.

Pollamarasetty, S. and Potti, R., 2016. Omni-Channel Retailing: Enriching Customers’ Shopping Experience. Handbook of Research on Strategic Supply Chain Management within the Retail Industry, 20(11), p. 233.

Steenstra, J., Gantman, A., Taylor, K.S. and Chen, L., 2014. Qualcomm Incorporated. Dynamic resource matching system. 15(6), pp. 8-10.

Available at: https://www.woolworthslimited.com.au/ Accessed 5 Aug. 2016.

Zine, P.U., Kulkarni, M.S., Ray, Woolworthslimited.com.au., 2016. Quality Brands and trustworthy merchandising – Woolworths Limited. online A.K. and Chawla, R., 2014. Designing flexible service systems: Application to machine tools. Journal of Intelligent Manufacturing, 3(1), pp.1-23.

APPENDIX
WOOLWORTHS BALANCE SHEET
2018 2017
52weeks ($m) 52weeks ($m)
Inventory 4223 4207
Accounts payable 5316 5195
Net investment in inventory 1083 988
Reaceivales 894 817
other creditors 4348 4409
Fixed asset and investment 9179 8556
Net asset held for sale 800 1223
Intangibal asset 6465 6533
Total fund employed 11907 11732
Net tax balance 161 291
Net asset employeed 12068 12023
Cash and borrowing 1530 2122
Other finacial asset and liabilities 311 25
Total net assets 10481 9876
Non controlling interest 368 350
Shareholders equity 10481 9526
Total equity 10849 9876
ROFE-Group before significant iteam 25 25
ROFE-Continuing operation 24.1 22.3
Return on equity continue and discontinue 17.2 17

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