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Interpret the Usage Variance Report

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The Usage Variance report lists the transaction totals, ideal usage, actual usage and the variance between these values for a reporting period. This report is generally used for reviewing and troubleshooting your stock levels. An option allows you to include only critical items on the report.

Example layout of a Usage Variance report:

 

 

Start

End

Receive

Count

Adjust

Adjust Waste

Transfer

Item Name

UoM

10

8

5

-3

3

1

2

 

Continued...
 

Ideal Usage

Actual Usage

Qty. Variance

Ideal Usage $

Actual Usage $

$ Variance

% Variance

4

5

1

$40

$50

$10

25%

Column Descriptions:

Start: The amount of stock at the beginning of the report period.

End: The amount of stock at the end of the report period (End = start + receives +or- count +or- adjust - adjust waste - transfer - ideal usage).

Receive: The total of all receives for the item during the report period.

Count: The amount the stock level was changed by counts performed during the report period.

Adjust: The sum of all adjusts for the item during the report period.

Adjust Waste: The sum of all waste adjustments for the item during the report period.

Transfer: The sum of all transfers for the item during the report period.

Ideal Usage: the Usage reported by the menu.

Actual Usage: actual usage = ideal usage +or- reversal of adjust + adjust waste +or- reversal of count (reversal: if effect was negative, add the figure; if effect was positive, subtract it).

Example:  

If the ideal usage for Mozza cheese is 50 pounds, with an adjustment of -1 pound, waste adjustment of 5 pounds, and a count effect of -2 pounds,

then actual usage is 50 + 1 + 5 + 2 = 58 pounds.

Qty. Variance: Ideal Usage minus Actual Usage.

Ideal Usage $: Ideal Usage multiplied by the cost in the Inventory Settings > stock items section.

Actual Usage $: Actual Usage multiplied by the cost in the Inventory Settings > stock items section.

$ Variance: Ideal Usage $ minus Actual Usage $.

% Variance: Qty. Variance divided by Ideal Usage and multiplied by 100.

Note HM

Note Any items that appear in the report with an asterisk (*) after the name are non menu items (e.g., cleaning supplies) that have the Treat Count Transactions as Usage setting selected on the Stock Items tab.

See Also:

Run Inventory Reports

Create an Interim Ideal Usage Report

Inventory Report Descriptions