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Using the Procurement Margin widget
Using the Procurement Margin widget

This widget can be used to compare inventory and purchase order buy prices.

R
Written by Raymond Carrel
Updated over 3 years ago

The main purpose of the Procurement Margin widget is to provide visibility of real-time margins on equipment sales.

Numerous filtering and grouping options are provided, allowing the widget to meet a range of requirements.

For example, you may wish to see:

  • Which members of the procurement or ordering team are getting the best deals.

  • Which suppliers are providing the most value.

The widget compares the Price Book Buy price of an item and the price from the Purchase Order - PO Buy - and calculates the variance in £ and as a percentage.

A breakdown is provided to detail this information at line level.

For specifics on where these values come from, check the table at the end of the document.


Grouping options

You can group by:

  • User

  • Team (via assigned user)

  • Product Category

  • Product Sub-Category

  • Intermediary

  • Supplier


Filtering options

You can filter on:

  • User

  • Team (via assigned user)

  • Supplier

  • Product Type (Product / Service)

  • Product Category

  • Product Sub-Category

  • Intermediaries


User / Team options

User and team can be determined by looking at any of the following options:

  • Connector

  • Customer Connector

  • Purchase Order Creator

  • Sales Order Creator


Period filter

You can choose to display information for a given period. Choose a Timespan Type e.g. day, month and an Initial Span to determine period length. Please note that these options refer to calendar periods. If you wish to display in non-calendar periods, please use days as your timespan type.

The date triggers for a line are:

Products: stock allocation date to SO

Up-front services: connection date


Breakdown and export

The breakdown will display line details of filtered information. Users with the required role will be able to Export this to spreadsheet.


Values - Sources and Calculations

Column

Source

Price Book Buy

Purchase Order or Inventory (last amended cost price within the Sales Order)

PO Buy

Stock authoritative

Variance £

Variance £ = Price book buy - Purchase Order buy

Variance %

Variance % = Variance £ / Inventory value

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