Controlling money is as equally important. If money/credit was not controlled it may be spent on the wrong things. This could lead to many problems including going bankrupt. House of Fraser do their best to control how their money is spent and make sure it is spent on the right things.
Budgeting & Forecasting Any company can go from being profitable to near or total bankruptcy. This means skilled and careful decision-making by senior management is required. So Budgeting and forecasting is used. Manufactures need to decide on new products to introduce, how much to charge for each product and how many to make.
They need to forecast the likely demand, which is a difficult job so it is aided by information, available from a computer system, on how products have sold in the past, which are similar. Budgeting is when the sales forecast is made and an overall budget is drawn up for a new scheme or project. This will show an expected cost and how much profit the company should expect to make if the product is charged and kept at a certain price without change for sales.
Communication House of Fraser uses ICT both internally and externally, in this section I am going to write how ICT is used internally in House of Fraser. House of Fraser uses Intranet as a form of internal communication. House of Fraser have their own Intranet which is like a mini Internet run through the companies networked computers.
Internal This is all communication that occurs within House of Fraser. They use Intranet as a form of internal communication. House of Fraser has there own Intranet system, which is like a mini Internet run through the companies networked computers. They can use this to send memos, formal letters, and details on special offers in store.
Memo's Memos are used to remind employee about what has got to be achieved. This usually contains deadlines and important documents etc. They are not formal. Letters They use formal letters to promote the company to people at home and at other companies, i.e. suppliers.
Posters House of Fraser also use posters to advertise products and offers in the store. This is one of House of Fraser best ways of advertising as it is cheap and efficient. These are put around the shop windows and in popular areas, this is done to catch people's eyes so they might wander in to see more.
Multimedia Multimedia is used when the company buys a radio advert, TV advertisement or an advert in the paper to. These usually contain information on sales and latest offers.
House of Fraser need to use this version of communication as it helps to make sure customers know about them and want to buy their products. External House of Fraser also uses external ways of communication. This is all information that occurs inside House of Fraser. Voice mail They use voice mail, which is used by area managers to relay messages to different stores around the country. Faxes
Faxes are used for sending urgent written information e.g. Insurance estimates to the people that need to know that information as it is a fast and reliable way to get details to them. It is also safer than using e-mail as important information could be hacked into on a P.C. Fax is also used to send stock lists to their suppliers so they can be sent new products when they run out inside their stores. Banks House of Fraser uses banks for obtaining change to be put in the cash registers and to find out about profits and losses that they have made in recent weeks/days.
Emails My company uses emails to send news about offers to people who have listed there email address to the company (usually when purchasing a product online or in surveys made inside the shops), hoping they will go in the nearest shop or online to buy one of the products.