the VIRTUAL Winery

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the VIRTUAL Winery
gwrdc.com.au
gwrdc.com.au
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the VIRTUAL Winery

• The VIRTUAL Winery is a business simulation used
  to create a long range strategic plan.
• The system provides for both US and metric
  measurement.
• The plan encompasses sales, cost and production
  forecasts with a capital budget and a flexible
  debt/equity structure.
• Generates sales and margin forecasts (by product
  and product line), balance sheets, operating and
  cash flow statements for 10 years. 

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the VIRTUAL Winery Accounting Flow
This chart reflects the accounting schema used to
build the Virtual Winery V3 System. This flow
chart, a multi-level chart of accounts and sample
financial reports for a winery operation are
included with your VIRTUAL Winery download.
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the VIRTUAL Winery

• The VWS V3 is written in Visual Basic and uses
  Microsoft Excel to perform calculations, maintain
  the production and sales databases, and generate
  graphs, analysis and reports.
• The forecast footnotes are in Microsoft Word and
  are linked to the Excel based financial forecast.
• The program can maintain and recall any number of
  scenarios. Scenarios can be easily emailed to
  facilitate support and collaboration.
• The programs design includes two parts
• Production and Sales Forecast Component
• Financial Forecast Component

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the VIRTUAL WineryProduction Component Flowchart
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the VIRTUAL WineryProduct Entry
The first step is to enter your wine products.
Use this menu choice to go to the Product Entry
Workbook. You can delete the sample product
sheets, then Add your own product sheets. Each
product sheet will post up to 15 years of data (4
Inventory, 1 Crop and 10 Forecast years) to the
product database.
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the VIRTUAL WineryWorkbook Data Flow
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the VIRTUAL WineryProduct Entry Workbook
Above is the Splash Screen for the Product Entry
Workbook. The next three slides show a typical
product entry sheet.
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the VIRTUAL WineryPost a Product to the Scenario
File
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the VIRTUAL WineryRecall the Posted Scenario
to the Database
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the VIRTUAL Winery Product Database Sheet Posted
from Product Entry Workbook
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the VIRTUAL WineryProduct Rollup
Whenever changes are made to the database, you
need to perform a Roll-up.
The product rollup will insert each product line
of the database into the product template,
calculate and then add the results to the
Production and Sales forecast.
You can also choose to rollup only a group of
products so you can analyze the results from a
single wine program.
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the VIRTUAL WineryProduction Forecast
You can go to most of the analysis and reports
from the Preview/Print Reports menu selection.
From this menu you can also access the database
sheets and make changes to fine tune the
forecast. The next two slides show the Production
and Sales Forecast analysis built from processing
the Product Roll-up
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the VIRTUAL Winery
In addition to the Sales and Forecast Analysis,
here are some samples of other reports and graphs
generated by executing a Product-Roll-up.

• Sales and margins are chartered for 10 years
• Monthly production is chartered for the first 60
  months.
• Verification report - This analysis will give you
  a quick overview of each product so you can spot
  modeling errors and anomalies.

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the VIRTUAL Winery 10 Year Sales Analysis
The sales analysis is a 10 year annual report of
sales, margins and case sales by product, sub
product and sales channel. It also includes
graphs of annual sales, margins and case sales by
sales channel. These analysis are Excel Pivot
Tables generated from the sales database. The
sales database is re-built each time that there
is a product roll-up. The next two slides
include samples of these reports and graphs.
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the VIRTUAL Winery60 Month Production Sales
Graphs
The graphs menu choice will display the
production and sales graphs for the first 60
months. These graphs are very useful for
spotting modeling errors and data anomalies. The
next two slides show some samples of these
graphs.
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the VIRTUAL Winery
Do I have the necessary working capital to
support these inventory levels?
That is a lot of barrels Where am I going to
store them all?
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the VIRTUAL Winery
Will my cellar operations support 78,000 gallons
in process?
Oh! Now I understand Those peeks are the wine
club shipments.
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the VIRTUAL Winery Verification (Summary) Report
To go to the Verification report, click on the
Product Summary sheet tab. This sheet also
includes a drill-down analysis (the Audit Cube)
so you can inspect each product by month by
individual line item (e.g. Opening Inventory).
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the VIRTUAL WineryDocuments

• The Documents menu selection provides access to
  the various MSWord documents and Excel workbooks
  that support and document the program including
• Report cover, Accountants Report and Forecast
  Footnotes.
• Chart of accounts including an accounting
  system schema (see Slide 2).

• Systems flowcharts (See Slides 5, 7 and 28)
• Program documentation a 55 page MSWord
  document.
• Menu report listing all the menu selections with
  explanation.

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the VIRTUAL WineryUpdate the System
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the VIRTUAL WinerySystems Setup
The System selection provides access to systems
setup and maintenance functions. Notice, the
measurement can be either metric or U.S. method.
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the VIRTUAL WineryAbout Screen
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the VIRTUAL WineryFinancial Component Flowchart
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the VIRTUAL Winery Transfer to Financial
When you are ready to transfer the Production and
Sales Forecast to the financial component of the
program, you must select which years that you
want to show monthly and which years where you
want to show only the annual totals.
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the VIRTUAL Winery Go to Financial
When you are ready to tackle the Financial part
of the forecast, select Go To Financial from the
menu. The next slide shows the opening Index
sheet of the financial component workbook. You
can navigate the entire Financial component from
this sheet.
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the VIRTUAL Winery Forecasted Balance Sheet
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the VIRTUAL Winery Forecasted Operating
Statement
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the VIRTUAL WineryForecasted Cash Flow Statement
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the VIRTUAL WineryAdditional Data Required for
the Financial Model

• Labor and Benefits
• Capital Budget
• Credit Line, Term Loans (principal Interest),
  Receivables and Payables information
• Production, Sales Admin. and Production Cost
  Budgets. The automated budgeting system makes
  this easy!
• Opening Balances Balance Sheet required the
  cash flow and operating comparative balances are
  useful but optional.
• Additional Equity contributions, as required
  (UGH!)

The following four slides show the Labor
Benefits entry and the Automated Budgeting system.
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the VIRTUAL Winery Entering your Labor Costs
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the VIRTUAL WineryAutomated Budgeting System -
Budget Type Parameters
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the VIRTUAL WineryAutomated Budgeting System
Period Allocations
Expenses can be allocated to monthly periods
using any one of 20 Period Allocation Base
Options, or you can enter your own monthly
percentages.
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the VIRTUAL WineryAutomated Budgeting System
Budget Data Report