If you see that your variance is huge and can't possibly make sense, don't worry just yet! It is very possible that there is just a bit of bad data getting in the way. Luckily, this is generally easily fixed!
Your variance is the difference between what was sold and what was actually consumed.
In the following example, your POS sales report works together with WISK's POS Item Mapping to calculate a total of 80.25 oz worth of this product that were sold. Compare this to the 93.16 oz that were physically were consumed. This means there is a shortage of 12.91 oz, equating to $10.69 worth of losses (cost price).
Potential Consumption Issues
Since the variance hinges on consumption data, it is very important to make sure that:
- All bottles are properly counted
- All Intakes are properly processed
Take this next bottle for example. We see a variance of +56 bottles, not because there is a surplus in sales, but because an intake had not been processed properly.
If we hover our mouse over the consumption value, we see that consumption is -26 bottles (see our article about Negative Consumption), when really it should be closer to 34 bottles since we had an intake of 60 bottles that was just never processed.
Making this small change suddenly means that our variance is closer to -4 bottles, not +56 bottles.
Potential Sales Issues
Since the variance hinges on sales data, it is very important to make sure that:
- All POS Items are properly mapped
If a POS Item is unmapped, all sales for that item will not be factored into variance calculations. Without this step, there is no way to associate a particular bottle to that sales item.
Take this next bottle for example with a variance of -$513.22. Since this product has not been mapped to its corresponding POS Item, the sales for that PLU are not being linked to this product.
If you hover your mouse over the sales value, you can see which POS Items are linked to this product. Here, there are none, so naturally the sales value will be 0.
Once the item is mapped, refreshing the variance report will show that 2 bottles have actually been sold, thereby resulting in a net variance of $0.00.