Home / Posts tagged "indirect costs"

indirect costs

Understanding the Impact of GNFR costs

Posted on by Lumatrak
Understanding the Impact of GNFR costs In a retail business, understanding the impact of Goods-Not-for-Resale (GNFR) costs is crucial for maintaining profitability and ensuring long-term success. GNFR costs refer to the expenses incurred on items that a business purchases for its own use, rather than for resale to customers. These can include items such as office supplies, fixtures, and equipment. Although GNFR costs are not directly tied to revenue generation, they can still have a sign...
Read More

The Importance of Managing Goods Not For Resale Spend

Posted on by Lumatrak
GNFR Imagery
The Importance of Managing Goods Not For Resale Spend In a retail business, managing Goods-Not-for-Resale (GNFR) spend is crucial for maintaining profitability and ensuring long-term success. GNFR spend refers to the expenses incurred on items that a business purchases for its own use, rather than for resale to customers. These can include items such as office supplies, fixtures, and equipment. Although GNFR spend is not directly tied to revenue generation, it can still have a significant im...
Read More

Outcome Analysis

Posted on by Lumatrak
Impact Analysis
Outcome Analysis Last week, we touched on Advanced Analytics and the need to share supply chain status information with the broader stakeholder group in a clear, useful, predictive and actionable form. We achieved this through developing stakeholder specific modules. Importance of getting my purchases onsite Material delivery to projects is critical to the success of opening stores on schedule. Delayed materials result in missing dates. In some cases, a project would be left incomp...
Read More

Understanding Indirect Spend Impact Upon Profitability

Posted on by Daniel Lansky
Understanding Indirect Spend Impact upon Profitability The majority of businesses tend to place a much greater emphasis on growing their top line rather than on reducing their costs. In terms of buying, there is that much greater emphasis on how many widgets can be sold at a high margin compared to how locations may be updated to promote maximum sales at minimum costs. It’s extremely important for retailers to create desirable shopping experiences, but not only do these retailers gene...
Read More

Understanding Indirect Spend VS GNFR

Posted on by Daniel Lansky
Understanding indirect spend VS GNFR
Understanding Indirect Spend VS GNFR Indirect spend is the total costs a company must put forth to operate the business, and GNFR is a subcategory of indirect spend. It includes goods and services purchased from outside vendors that are not resold. These purchases are normally authorized by a purchase order, but indirect spend is not always an actual purchase (e.g., payroll for indirect spend and SGA). This is the key difference regarding indirect spend VS GNFR. Not all indirect spend...
Read More

Understanding Indirect Spend

Posted on by Daniel Lansky
Calculating indirect spend
Understanding Indirect Spend In any area dealing with procurement, you will likely hear the term “indirect spend,” along with “direct spend.” You might also hear references to “indirect materials,” “GNFR,” “indirect procurement,” “overhead,” and “variable and fixed indirect costs.” It may come as a surprise, but these terms have roots dating back to 1760 during the Industrial Revolution, when cost accounting was first introduced to calculate the cost of a product in order to calculate...
Read More
Top