What Does This Mean: Common Industry-Related Keywords
Updated: Apr 30, 2021
Sometimes as technology specialists we can forget that those outside our industry may not speak our language. Here is a simplified reference list of common industry-related keywords that our consultants may use when discussing our software, services, or our Microsoft partnership and its offerings.
Keyword Table of Contents
What is a value-added reseller?
Microsoft VAR – Value Added Reseller
A Microsoft Value Added Reseller, or VAR, is a company that partners with Microsoft to resell their software to other businesses. Often, these partners do not just sell the Microsoft solutions but also include customized enhancements such as technical support, personalized products, or industry-specific consulting.
At Infuzion Solutions, we are considered a Microsoft Dynamics VAR (Value Added Reseller). In addition to selling Microsoft's enterprise resource planning (ERP) solutions and software, we also provide our clients with an expert group of consultants who specialize in customizing the Dynamics software and reports to our clients' businesses. Also, we have utilized Microsoft Dynamics GP to build Infuzion® software, an ERP customized explicitly for wine and spirits wholesalers.
What is an ISV?
Microsoft ISV – Independent Software Vendor
A Microsoft Independent Software Vendor (ISV) is a separate entity from Microsoft but creates applications that integrate and work seamlessly with Microsoft solutions. These applications can then be sold through the Microsoft channel or independently. Infuzion Solutions partners with ISVs to customize Microsoft Dynamics GP to our clients' businesses. For example, we partner with Greenshades, a payroll platform that can efficiently move data into Microsoft Dynamics GP for better business management and viewability.
What is a Microsoft Partner?
Microsoft has built a large base of organizations that utilize Microsoft technology to develop and manage solutions. This group is called the Microsoft Partner Network. Within this network, companies can partner with Microsoft to receive resources on selling, supporting, integrating, building, and customizing their technology solutions for Microsoft software users. Microsoft offers two competencies, Silver and Gold, that showcase an organization's completion of Microsoft's specific requirements. Infuzion Solutions is a Microsoft Silver Partner.
What is ERP?
ERP – Enterprise Resource Planning
Enterprise resource planning is a system used to manage the fundamental business processes within an organization, such as accounting or supply chain management. Companies will use ERP software as the hub of all incoming and outgoing data. It works as the center of connection, organizes all outside application activity and data, and brings it into one single database to manage data as a whole instead of in pieces.
At Infuzion Solutions, we focus heavily on Microsoft Dynamics GP, an on-premise ERP software sold by Microsoft.
What is Microsoft Dynamics GP?
Microsoft Dynamics GP (Great Plains)
Microsoft Dynamics GP or Great Plains is an on-premise enterprise resource planning (ERP) software acquired and sold by Microsoft. It is intended for small to mid-size businesses to handle their company's fundamental business processes for back-end organization.
What are the major ERP products of Microsoft Dynamics?
Microsoft sells various enterprise resource planning (ERP) software that targets businesses based on their size, resources, and needs. These products include Dynamics GP, NAV, SL, AX, and 365. The Dynamics software integrates seamlessly with other Microsoft products such as Excel, SharePoint, and more.
At Infuzion Solutions, we specialize in implementing Dynamics GP for small to medium-sized businesses. Infuzion, an end-to-end solution for wine and spirits distributors, is built using Dynamics GP as its core.
What is a wireless warehouse?
Companies utilize a wireless warehouse to streamline warehouse processes by putting all data on a mobile device for workers to reference and engage. The information from a wireless warehouse can be passed into an enterprise resource planning (ERP) software, such as Microsoft Dynamics GP, to get a more detailed report of the businesses' operations.
Infuzion®, our end-to-end solution for wine and spirits distributors, utilizes WithoutWire as its wireless warehouse platform. According to WithoutWire, they modernize distribution process[es] by real-time tracking the movement of goods. WithoutWire's integrated platform allows for fast and efficient fulfillment and provides tracking and delivery of goods to multiple locations (withoutwire.com).
On-Premise vs. Cloud
On-Premise, Cloud, and Hybrid Solutions
If a solution is considered on-premise, all computing infrastructure is on servers on the company's physical property. The business owns the software and the servers and must maintain it through either a staffed IT team or a third-party resource such as Infuzion Solutions. Being on-premise has many benefits, such as tight security and a highly customized experience. Microsoft Dynamics GP is an on-premises solution, although it does offer cloud integrations.
On the contrary, businesses can choose to have another provider host their solution off-site or in the cloud. A company might consider this option if they are looking for a lower-maintenance solution with an as-needed cost structure. Cloud solutions tend to update regularly without any on-site IT staff needed. Microsoft 365 is considered a cloud-based solution.
At Infuzion Solutions, we provide a hybrid solution that utilizes both on-premise and cloud capabilities. A business can connect its on-premise ERP (Microsoft Dynamics GP) to cloud solutions, such as Office 365, Power BI, Wireless Warehouse, and Electronic Payments.
What is Power BI used for?
Power BI is a highly mobile reporting software that shows data in a visual format. Users can control their Power BI dashboard on a cell phone, iPad, or desktop and slice and dice reports to view data however they desire to see it.
Power BI gives a company overview within a visually appealing dashboard and allows drilling into reports to look at data pictorially.
Microsoft Dynamics GP users can import data into Power BI through Excel to better understand business operations visually.
EDI - Electronic Data Interchange (EDI)
Electronic Data Interchange allows an individual to send encrypted invoices, purchase orders, advance ship notices, and even orders in a private network. The reason businesses use this process is to assure the information they are sending is protected. Also, they get a confirmation that the other correspondent received it. EDI keeps essential data from getting lost in emails. It gives individuals the ability to import their information directly into an ERP without printing off an invoice or a purchase order and then needing to key it into the system.
What is Infuzion® software?
Infuzion® offers a full, end-to-end software solution for the wine and spirits distributor by leveraging Microsoft Dynamics GP to combine tailored functionality from Microsoft Certified Independent Software Vendors (ISV's) and already existing industry-experienced applications.
ISV's focus their business on creating enhancing products for the Dynamics ERP system. They allow companies to benefit from a competitive, cost-efficient, and ever-evolving software development.
What is Business Continuity?
Business Continuity is a term used when describing how a business will continue to function if an unforeseen circumstance causes a threat to its operations.
What is Disaster Recovery?
DR - Disaster Recovery
Disaster recovery is when essential IT infrastructure goes down and is unrecoverable. DR is the system a business will employ to get their system back up and running as quickly as possible to minimize financial and data loss. A Disaster Recovery plan is an essential resource. According to FEMA, 40%-60% of businesses never reopen after a significant data disaster.
What is Recovery Time Objective?
RTO - Recovery Time Objective
If a disaster does occur, a company's IT team will determine the recovery time objective (RTO) to know how long the business can survive while down. This process will decide the most critical areas to revive and figure how long it will take to go from loss to recovery.
What is Gallonage Tax
Tax a distributor pays to the state that is determined by gallons or liters of alcohol distributed/sold or received (depending on the state).
What is Depletion Allowance?
Similar to a rebate, depletion allowance is a sales incentive that gives a set rate per case or bottle for depletions during a certain time. For example, for every case of a certain item the distributor sells, they get so much money back. This money goes into a depletion bucket which reduces the distributor’s sales cost.
In Infuzion, we can exclude exempt customer classes that would be a credit to state tax (such as military and transfers) so that amount doesn’t accrue on the general ledger.
Often, suppliers want to be updated about how quickly and which of their items are depleting. In infuzion, we can schedule supplier depletion reports to auto-send to suppliers through email or an FTP on a customizable schedule.
What are Billbacks?
Billbacks are items like free goods, samples, and depletion allowances that the brewer/supplier agrees to beforehand. So the supplier gets an invoice after the cases are depleted, or sampled out (may be incentive based too depending on certain supplier programs).
What is Deal Pricing?
Deal pricing is a pricing structure that some states deem legal where distributors are able to offer discounts off of cases based on what customer or customer type buys the product, or how much of the product they buy. They can have flat buy-one deals where the customer gets $10 off per case, for example. They also could have quantity-level deals (i.e. buy 10 and we’ll give you $20 off per case). Some states also allow free goods (i.e. buy 10 cases of this brand get 3 bottles free).
What is Post-Off Pricing?
Post-Off states are pricing structures where the same discount must be offered to all customers who buy the product and it’s a flat discount – i.e. for this month, a certain item is $30 off per case for anyone who buys that item and for whatever quantity, whether they buy 1 case or 100. The distributor isn’t allowed in this structure to give different pricing for different customers who buy the same thing (like different pricing for restaurants vs. liquor stores).
What are Backorders?
Backorders are items the customer ordered, but aren't available yet. So when the customer orders a product, it can’t be shipped because it’s not in the warehouse. In Infuzion, a backorder document will be created so that the backorder will auto-fulfill and ship to the customer. This also allows the customer to get the pricing they qualified for when they originally ordered the product.
There are same-day backorders, which means the distributor didn’t have it at the exact time the customer ordered it, but they received it later that day. In Infuzion, the backorder will automatically be released, and the customer will still receive it the next day like normal. Most wine and spirits sales are next-day orders.