Turns and Earns Analysis

Menu Path: Executive Information Systems $Images\bluerarw.gif$ Performance Metrics $Images\bluerarw.gif$ Turns and Earns Analysis

Purpose

Display profitability and velocity metrics such as Turns, Turn and Earn and GMROI (Gross Margin Return on Investment) by shipping location, supplier, category, subcategory, and product.
Compare two different period ranges.

Overview

Use Turns and Earns Analysis to view profitability and velocity metrics for a specific date or two ranges of dates.

Note Turns and Earns Analysis only functions if you are performing a periodic update of product history statistics in Turns and Earns Daily Update. This update can be run daily, weekly, or as often as required for your analytical needs. The more often it is run, the better the resulting analytical information.

Analyzing Profitability and Velocity

To analyze profitability and velocity:

Enter a range of dates for which you want to display data in the range 1 From Date and To Date fields.
If you want to compare data from the first range to another range of dates, select the Range 2 check box, and then enter a range of dates in the range 2 From Date and To Date fields.
If you want to display data for a single shipping location, clear the All Shipping Locations check box, and enter a shipping location in the Location field.
If you want to display data for a single supplier, clear the All Suppliers check box, and enter a supplier in the Supplier Code field.
If you want to display data for a single category, clear the All Categories check box, and enter a category in the Category field. If you enter a category and want to display data for a single subcategory, clear the All Subcategories check box, and enter a subcategory in the Subcategory field.
Define the display method by selecting the Category, Subcategory, Product, or Supplier radio buttons. You can drill down to the subcategory, product, or supplier level if you select the Category radio button. You can drill down to the product or supplier level if you select the Subcategory radio button. You can drill down to the category, subcategory, product, or customer level if you select the Supplier radio button.
Select a drill down option. The available options depend on the display option you selected in step 6.
Select whether to use sales or accounting cost.
If you want to display data in a currency other than the default currency, click the Lookup button to the right of the Currency field, and select a valid currency.
If you want to display cost of products that have been returned but not restocked, select the Include Cost of Products Returned and Not Restocked check box.
Click the Show Data button in the ribbon to display data on the Results tab. The Totals section displays total sales, margin, and margin percentage for the data.
Select a method for sorting the data.
If you want to position the results in the Results grid to a specific record, enter it in the Position field. Enter data corresponding to the sort option you selected in step 12.

Ribbon Home Tab Buttons

Button	Description
Exit	Click this button to close the Turns and Earns Analysis window.
Show Data	Click this button to display category, subcategory, product, or supplier data on the Results tab, based on the selected criteria.
Inventory Matrix	Click this button to display Inventory Matrix Inquiry, which allows you to view inventory and transaction information for the product selected in the Results grid.

Select Tab Fields and Buttons

Field or Button	Description
From Date (Range 1)	Enter the first date in a range of dates for which to display data, or click the drop-down arrow to select a date.
To Date (Range 1)	Enter the last date in a range of dates for which to display data, or click the drop-down arrow to select a date.
Range 2	Select this check box if you want to compare data for two ranges of dates. This check box is cleared by default.
From Date (Range 2)	Enter the first date in a second range of dates for which to display data, or click the drop-down arrow to select a date. This field is only enabled if you select the Range 2 check box.
To Date (Range 2)	Enter the last date in a second range of dates for which to display data, or click the drop-down arrow to select a date. This field is only enabled if you select the Range 2 check box.
All Shipping Locations	Select this check box to display data for all shipping locations. This check box is selected by default.
Location (Shipping)	Enter a location prefix or name to display data only for goods shipped from this location, or click the Lookup buttons to select a shipping location prefix or name. These fields are only enabled if you clear the All Shipping Locations check box.
All Suppliers	Select this check box to display data for all suppliers. This check box is selected by default.
Supplier Code	Enter a supplier code or name to display data only for this supplier, or click the Lookup button to select a supplier code or name. These fields are only enabled if you clear the All Suppliers check box.
All Categories	Select this check box to display data for all product categories. This check box is selected by default.
Category	Enter a product category for which to display data, or click the Lookup button to select a product category. This field is only enabled if you clear the All Categories check box.
All Subcategories	Select this check box to display data for all product subcategories. This check box is selected by default, and is only enabled if you enter a category in the Category field.
Subcategory	Enter a product subcategory for which to display data, or click the Lookup button to select a product subcategory. This field is only enabled if you clear the All Subcategories check box.
Display	Select the data displayed on the Results tab. Select one of the following options: Category - Display data for product categories. Subcategory - Display data for product subcategories. Product - Display data for products. Supplier - Display data for primary suppliers. Category is selected by default.
Drill Down	Select the information to display if you drill down on data displayed on the Results tab. This field is only enabled if you select the Category, Subcategory, or Supplier radio button.
Cost Type	Select whether to use the sales or accounting cost type. Sales is selected by default.
Currency	Click the Lookup button to select a currency to use for all data displayed on the Results tab.
Include Cost of Products Returned and Not Restocked	Select this check box to include cost for products that were returned but not restocked.

Results Tab Fields and Buttons

Field or Button	Description
Results	This grid displays category, subcategory, product, or supplier data based on the criteria selected on the Select tab. Values in this grid are calculated as follows: Avg Unit Price - This is equal to total sales divided by total units for each date range (based on sales history). It does not include returns. Avg Unit Cost - This is equal to total costs divided by total units for each date range (based on sales history). It does not include returns. Average Cost - Based on data collected from running Turns and Earns Daily Update, the current average cost is captured for each day it is run, and then the average costs are averaged over the date range specified. This data is stored both daily and monthly. When the date range includes full months, the monthly data is used. For partial months, the daily data is used. Running Turns and Earns Daily Update every day will provide the most accurate results. If there are gaps, it may skew the results for actual Turns. Avg Qty on Hand - Based on the data collected from running Turns and Earns Daily Update, the current quantity on hand is captured for each day it is run, and then the quantity on hand is averaged over the date range specified. This data is stored both daily and monthly. When the date range includes full months, the monthly data is used. For partial months, the daily data is used. Running Turns and Earns Daily Update every day will provide the most accurate results. If there are gaps, it may skew the results for actual Turns. Turns - When displaying categories, subcategories, or suppliers, this is equal to (Total Cost x (365 / Number of days in date range))/(Average Cost x Avg Qty on Hand), and Total Cost equals Units Sold x Avg Unit Cost. When displaying products, this is equal to (Units Sold x (365 / Number of days in date range))/Avg Qty on Hand. It does not include returns. Double-click a line to drill down to more detailed data. The window that appears when you drill down is based on your selection in the Drill Down field on the Select tab, as follows: Category - Displays Turns and Earns Analysis, which allows you to view category data for the selected supplier. Subcategory - Displays Turns and Earns Analysis, which allows you to view subcategory data for the selected category or supplier. Product - Displays Turns and Earns Analysis, which allows you to view product data for the selected category, subcategory, or supplier. Supplier - Displays Turns and Earns Analysis, which allows you to view supplier data for the selected category or subcategory. Customer - Displays Customer Analysis, which allows you to view customer data for the selected supplier. NOTE For partial months, the following formulas are used: Monthly.avg-cost = SUM(daily.avg-cost* daily.qoh)/ SUM(daily.qoh) and Monthly.qoh = SUM(daily.qoh)/COUNT(daily). If there are missing daily records in the selected partial month (because one record may not be created every day even if you run Turns and Earns Daily Update every day), the software creates temporary daily records, and then calculates the partial monthly data based on these records. If the selected date range contains a full month and a partial months (e.g., 10/6/2020 – 11/30/2020), the software will first pick up the monthly data for the full month, and then add up the partial month data using the following formula: ASSIGN prod-summary.avg-cost = ((EntireMonth.avg-cost * EntireMonth.avg-qoh * EntireMonthTotalDays) + PartialMonthTotalCost) / (EntireMonth.avg-qoh * EntireMonthTotalDays + PartialMonthTotalQOH). ASSIGN prod-summary.avg-qoh = (EntireMonth.avg-qoh * EntireMonthTotalDays + PartialMonthTotalQOH)/ (EntireMonthTotalDays + PartialMonthTotalDays) If the selected date range contains a full month and two partial months (e.g., 10/6/2020 – 12/6/2020), the software will first pick up the monthly data for the full month, and then add up the two partial month data using the following formula (it will be run twice as there are two partial months): ASSIGN prod-summary.avg-cost = ((prod-summary.avg-cost * prod-summary.avg-qoh * prod-summary.r1-num-days) + temp-avg-cost-total) / (prod-summary.avg-qoh * prod-summary.r1-num-days + temp-qoh-total). ASSIGN prod-summary.avg-qoh = (prod-summary.avg-qoh * prod-summary.r1-num-days + temp-qoh-total) / (prod-summary.r1-num-days + curr-mth-days prod-summary.r1-num-days = prod-summary.r1-num-days + curr-mth-days.
Sort by	Select a method for sorting data in the Results grid. The available options depend on the selected display option.
Position	Enter the record to display at the top of the Results grid. The entry in this field is based on the selected Sort by option.
R1 Total Sales	This field displays range 1 total sales for the data displayed in the Results grid.
R1 Margin	This field displays range 1 margin for the data displayed in the Results grid.
R1 Margin %	This field displays range 1 margin percentage for the data displayed in the Results grid.
R2 Total Sales	This field displays range 2 total sales for the data displayed in the Results grid.
R2 Margin	This field displays range 2 margin for the data displayed in the Results grid.
R2 Margin %	This field displays range 2 margin percentage for the data displayed in the Results grid.