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📦 Trading & Distribution Workflows

Trading, wholesale, and distribution represent over 30% of the Saudi SME sector. Managing tight margins requires precise control over true product costs, inventory locations, stock replenishment, and batch traceability.

1. Landed Cost Allocation​

A product's true cost is not just its purchase price. In Saudi Arabia, international shipments incur freight, customs duties, local port handling, SABER certification fees, and inland logistics.

Purchase Price (SAR 10,000) 
  + Customs Duty (SAR 500) 
  + Freight Charges (SAR 1,200) 
  + Local Logistics (SAR 300)
  = Landed Cost (SAR 12,000) -> Valuation Rate = SAR 12/unit (instead of SAR 10)

Happy Path Steps​

  1. Purchase Receipt: Goods arrive at the warehouse. The storekeeper logs a Goods Receipt Note (GRN) at the supplier's purchase price.
  2. Expense Booking: Invoices from the shipping line, customs broker, and local trucking company are posted to expense accounts.
  3. Landed Cost Voucher (LCV): The accountant creates an LCV in BayanCore, linking the supplier GRN and the auxiliary expense invoices.
  4. Cost Distribution: The system distributes the extra expenses across the items in the GRN (either weighted by quantity or by purchase value). This updates the Valuation Rate of the inventory, ensuring accurate gross margin reporting.

2. Multi-Warehouse Management​

Trading operations often distribute inventory across multiple regional hubs (e.g., Central Riyadh, Western Jeddah, Eastern Dammam) to reduce delivery times.

Happy Path Steps​

  1. Inter-Warehouse Transfer Request: When Jeddah's stock drops, the sales coordinator drafts a Material Transfer Request.
  2. Approval Routing: The Operations Manager receives a mobile notification and approves the transfer.
  3. Stock Transit Tracking: The stock is marked as "In Transit" (isolated asset account) during shipment.
  4. Receipt & Inspection: The receiving warehouse manager scans the transfer barcode on delivery, confirming receipt and resolving discrepancies immediately.

3. Automated Reorders & Stock Monitoring​

Stockouts result in lost revenue, while excess stock ties up valuable working capital.

  • Lead-Time Configuration: Each item has an associated supplier lead-time (e.g., 30 days from China, 3 days local).
  • Safety Stock & Reorder Points (ROP): ROP = (Average Daily Sales Velocity × Lead Time in Days) + Safety Stock
  • Auto-PO Generation: When active stock drops below the ROP, the system flags it on the Proactive Cockpit and drafts a Purchase Requisition, grouping multiple items from the same supplier to optimize freight costs.

4. Batch & Expiry Traceability​

Traceability is mandatory for food and beverage, pharmaceuticals, and electrical components under Saudi standards (SFDA, SASO).

  • Batch Creation: On goods receipt, the system enforces the input of batch numbers, manufacturing dates, and expiry dates.
  • First-Expired, First-Out (FEFO): When a Sales Order is confirmed, the picking list auto-assigns items from batches closest to expiration, reducing write-off losses.
  • Targeted Recall Capability: In the event of a product defect, a single search returns all customers who received a specific batch number, allowing immediate outreach and audit compliance.