Pdf

The Operational Board regularly monitors a range of financial and non-financial performance indicators to allow it to measure performance against expected targets. The following represents a selection of these indicators.

KPI

Daily gross profit generated

The accurate daily reporting of gross profit achieved by each operating division across the Group with comparison to prior year or plan is our fundamental performance measure. This is further supported by additional calculations giving indicative full month estimates on a daily basis. The daily gross profit report is issued to all business units by 9am daily.

PMC

£000

Flowtechnology

£000

Process

£000

Performance across all segments remain strong.

Acquisitions and integrationAcquisition and integration

As part of any acquisition programme, new businesses that join the Group will be required to comply with this daily reporting requirement as soon as it is practicable. The primary benefit is to allow the Operational Board to reinforce close scrutiny of trading performance, provide local management focus and an early indication of any negative growth, if evident.

Monthly sales and gross profit by customer account and product

We have a clear focus on the management of profitability at customer and product levels. Within the Group's IT systems, appropriate Business Intelligence modules are maintained to allow ease of analysis on a timely basis to both underpin sales development initiatives at a strategic and tactical level, and to quickly identify underperformance.

Revenue

£000

Gross profit

£000

Granular KPI review has led to overall growth targets being achieved.

Brand positioningBrand positioning

The regular measurement of performance enables us to identify broader issues impacting a brand post acquisition. Continued focus on product performance allows us to identify product brand expansion opportunities.

Service levels

This is the percentage of orders despatched same day in the Flowtechnology division.

Service levels

Supply chain and logistics continue to deliver consistent performance.

Supply chainSupply chain

The aim of the Group is to provide a wide and deep product range, competitive pricing, consistently high service levels and a unique dependable next day delivery for stock items. These attributes are all linked to optimised inventory levels to provide an unparalleled customer support service.

Employee retention

Retention is measured as the number of employees retained at the end of the year as a percentage of the number at the start of the year.

Employee retention

Overall retention has improved and remains above national average.

People are one of our strongest assets, they are the key to our strategy to achieving our overall goals. Measuring retention across the business units enables us to identify both good practices and also where corrective action may be needed.

Stock provisions calculated at item level

The Group maintains accurate stock provision measures down to item level on a minimum twice monthly basis.

Stock provision as % of total stock

£000

Regular review of KPIs and remedial action has reduced provision requirements.

Products and sourcingProducts and sourcing

Stock provision analysis by individual product group or supplier ensures that action to alleviate any potential costs associated with slow-moving or redundant items can be made at the earliest point in a product life-cycle. Continual review helps us ensure we are stocking the right product.