The Receipt Variance Report in TallyPrime, under the Job Work In module, is designed to compare the actual quantity of materials received from a job worker against the expected or planned quantity.
This report is crucial for identifying discrepancies between what was expected and what was actually received, enabling better control over inventory and job work processes.
1. Purpose of the Receipt Variance Report in TallyPrime
The Receipt Variance Report helps businesses to:
1. Identify Discrepancies:
Track any variance between the expected receipt quantity and the actual quantity received.
2. Improve Efficiency:
Highlight inefficiencies in the job work process, enabling corrective actions.
3. Cost Control:
Helps in controlling costs by analyzing discrepancies and understanding material requirements better.
4. Inventory Management:
Ensures accurate inventory levels are maintained by reconciling expected and actual receipts.
2. Accessing the Receipt Variance Report in TallyPrime
To access the Receipt Variance Report in TallyPrime:
- Open TallyPrime and navigate to the Gateway of Tally.
- Go to Display.
- Select Job Work Reports.
- Choose Receipt Variance Report.
3. Components of the Receipt Variance Report in TallyPrime
1. Job Order Number:
The unique identifier of the job order associated with the material received.
2. Item Name:
The name of the item or material received from the job worker.
3. Expected Quantity:
The planned or expected quantity of material to be received according to the job order.
4. Actual Quantity:
The actual quantity of material received from the job worker.
5. Variance:
The difference between the expected and actual quantity. It can be positive (over-receipt) or negative (under-receipt).
6. Remarks:
Additional notes or explanations for the variance, if any.
4. Example of a Receipt Variance Report in TallyPrime
Consider an example where a business sends raw materials to a job worker and expects a specific quantity of finished goods in return:
Job Order Number: JWO-234
Item Name: Finished Aluminum Plates
Expected Quantity: 200 pieces
Actual Quantity: 190 pieces
Variance: -10 pieces
Remarks: Shortfall due to production issues.
Explanation:
- Job Order Number: Indicates the job order associated with the receipt of goods.
- Item Name: The finished product received from the job worker is “Finished Aluminum Plates.”
- Expected Quantity: The business expected 200 pieces as per the job order.
- Actual Quantity: Only 190 pieces were received.
- Variance: There was a shortfall of 10 pieces.
- Remarks: The shortfall might be due to issues during production.
5. How to Use the Receipt Variance Report in TallyPrime
1. Monitor Job Work Efficiency:
Use the report to identify and address inefficiencies in the job work process by understanding why there is a variance.
2. Cost Management:
Variances in received materials can lead to additional costs.
By analyzing this report, businesses can take steps to minimize such costs.
3. Improve Planning:
By understanding the causes of variances, businesses can refine their planning processes to ensure that the expected output is more accurately met.
4. Enhance Accountability:
The report helps in maintaining accountability in job work processes, ensuring that job workers are held responsible for meeting expected output levels.
5. Inventory Reconciliation:
Helps in reconciling the inventory by comparing the actual quantity received with the expected quantity, ensuring accurate stock levels.
6. Conclusion
The Receipt Variance Report in TallyPrime is an essential tool for businesses that engage in job work processes.
By providing detailed insights into variances between expected and actual receipts, it helps businesses to improve efficiency, control costs, and maintain better inventory management.
This report ensures that discrepancies are quickly identified and addressed, leading to more efficient and cost-effective job work operations.
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