Video: Understanding Retailers
The retail industry is unlike any other in many ways – from accounting methods followed to the range and type of interactions with suppliers and customers. In this video blog, I have discussed the dynamics of the industry and how these impact technology solutions created and implemented for retailers.
Comments
Venu, you have touched upon some interesting challenges faced by the retail industries.
One other challenge that the retailers face today is the RIM method that they use for their stock valuation. With the growing focus on the industry worldwide moving to IFRS, RIM is still not accepted by the accountants as IFRS compliant. Also the cost of movement from GAAP to IFRS is also significant capital expenditure to the retailers. It will be worthwhile to have a PoV on that subject from our side.
Cheers :)
Posted by: Ismail Syed Mohammad | June 5, 2009 8:18 AM
Ismail, that is a very important challenge that Retailers are facing. With the imminent IFRS deadlines, retailers will soon have to make a choice in using the traditional RIM or a more standard cost based method. I will post on this topic soon but in summary, I think with the advancement of perpetual inventory system, retailers can make a shift to cost based systems!
Posted by: Venu Kotamraju | June 20, 2009 4:33 PM