Key Figures Calculated at Runtime 

The key figures that are described below are calculated when executing the standard analyses and are therefore not saved in any information structure.

Margins

A margin is the percentage difference between the retail and cost prices, in relation to the sales value.

The margin is calculated as follows:

Margin in % = 100 *(Sales value - purchasing value)/ Sales value

 

The following margins can be evaluated in the Retail Information System:

The margin always has two values:

The retail price with tax is used to calculate this margin.

The retail price without tax is used to calculate this margin.

 

Range of Coverage

The range of coverage shows the stock left at the end of the period selected compared to the average issues in that period. It is calculated as follows:

Range of coverage in days = stock at end of period selected/ average issues in period selected

The average issues are calculated as follows:

Average issues = (Sales + DC goods receipt) / Number of days in period selected

In RIS, the range of coverage is calculated on the basis of the quantity and value (retail price with tax).

 

Inventory Turn

The inventory turn is calculated from the quotient of the sum of the issues in the period selected and the average stock in the period selected.

Inventory turn = sum of issues in period selected / average stock in period selected

The issues are calculated as follows:

Issues = Sales + Goods issues from DC

The average stock is calculated as follows:

Average stock = Total of closing stocks / Number of selection periods

In RIS, the inventory turn is calculated on the basis of the quantity and value (retail price with tax).

 

Annual Inventory Turn

The annual inventory turn is calculated as follows:

Annual inventory turn = (Inventory turn x Number of periods in calendar year) / Number of selected periods

If you choose a year as your selection period, then the inventory turn is identical to the annual inventory turn.

The annual inventory turn is calculated on the basis of the quantity and value (retail price with tax).

 

GMROI (Gross Margin Return on Investment)

The GMROI key figure represents the relationship between the value-based annual inventory turn and the issue margin achieved:

GMROI = (Annual inventory turn on a value basis x Issues margin) / 100

The issues are calculated as follows:

Issues = Sales + Goods issues from DC

This key figure aids the weighting of the inventory turn and margin of an article and helps you to ascertain that the article is not necessarily successful, despite the high margin achieved, if only a minimal annual inventory turn is reached.

The retail price with tax forms the basis for calculating the value-based annual inventory turn.

 

Number of days on sale

Key figure that shows how many days an article has already been in the valuated stock of a store.

The key figure is calculated as follows:

Days on sale = Day of valuation - Date of first receipt

The receipt date is recorded when the article is first issued/received in the respective store and remains unchanged.

The highest value of the key figure "Days on sale" is displayed on aggregation levels above that of article.

 

Fictitious Sales/Stock

This key figure shows what sales/stocks would have been reached if the original retail price with tax had been adhered to.

This key figure is calculated by multiplying the sales quantity/valuated stock quantity by the original retail price.

The original retail price is the retail price of the first purchase order or change involving stocks in the store in question.

 

Sales Quota

This key figure is calculated as follows:

Sales quota = 100 * Issues / (Issues + Stock)

The sales quota can be displayed in terms of quantity and value (retail price with tax).

The sales quota for seasonal articles is between 0% and 100%.

 

End of Season Stock

Key figure that shows what stock is available at the end of the season. The end of the season is determined by the end of the selection period at the start of the analysis.

Note that in analyses of the current season, the end date lies in the future.

This key figure is displayed in a variety of versions (volume, quantity, weight, cost, rtlT, rtl).

The end of season stock is calculated as follows:

End of season stock = (Stock + on-order stock) - (Issues up to end of selection period)

The on-order stock is the sum of all open purchase orders involving external vendors.

The issues up to the end of the selection period are calculated as follows:

Issues to end of selection period = (Today’s date - End of selection period date) x Average issue

 

The issues (Sales, GI DC) from the start of the selection period up until the evaluation date are used in the calculation of the average issue.

You can find information on other key figures that are also calculated at runtime, such as average number of transaction items per transaction, transaction cancellation quota, line cancellation quota and scanning rate in Key Figures: Sales Audit (POS Statistics).

See also:

How Key Figures Are Calculated