RETAIL
OPERATIONS BY GEORGEOLNEY
Petroleum and Convenience Stores Seek Unified Software System to Manage Entire Operation
CASE STUDIES FROM SUMMIT SOFTWARE
Unifying systems directly translate into better service, lower prices and happier customers
I
T ISN’T EASY RUNNING A PETROLEUM-BASED operation. Such outfits often consist of much more than direct delivery—propane supply, unattended fueling, lube oil and convenience stores also play their part. These organizations
also exist in a highly volatile field where prices might shift several times over the course of one day and
they must satisfy the auditing and tax requirements of every level of government—from city to federal. These challenges make management an inter-
esting proposition. Most companies have long since realized the value of software as a means of increasing efficiency. However, such software was typically adopted in a haphazard manner. First, perhaps, came some word processors, then some kind of accounting system, followed by a way to manage propane accounts and a program to keep track of fuel deliveries. The result is a mishmash of systems that can’t talk to each other. While a lot better than the old days of paper records and files, inefficiency causes significant problems such as multiple data entry, IT overloads, customer delays, system crashes. Errors can lead to auditing penal- ties, misreporting and unacceptable risk. That’s why many petroleum distributors are
gravitating towards an all-in-one approach. By implementing a unifying single-vendor software system, they eliminate many of the challenges outlined above while opening the door to higher revenues and getting more done with less. Quality Oil and Gas Company, for example,
is a petroleum jobber that serves the North and South Carolina markets. Its three offices/distribu- tion centers deliver fuel to about 60 c-stores, as well as many commercial and farm accounts, 3,200 pro- pane customers for home heating and some kero- sene accounts. The company managed its many outlets via four different software packages for pay- roll, fixed assets, accounting and propane. Despite efforts to cobble these disparate systems together, rekeying of data was the order of the day. “All of our propane transactions were entered
in one location and then had to be reentered into the general ledger (GL) at our headquarters,” said Jimmy McDonald, environmental compliance and information systems manager at Quality Oil and Gas. “That probably consumed two full days alone.”
22 MAY/JUNE 2011 NPN Magazine n www.npnweb.com
