# Raw Material Comparison

### **Report Module Guide: Raw Material Comparison Report (Material Usage Variance Report)**

#### **Module Location**

#### PPIC > Reports > Raw Material Comparison Report

#### **Module Objective**

#### The **Raw Material Comparison Report** module is used to generate an analytical report that compares the **actual usage** of raw materials with the **standard quantity** that should have been used (based on the BOM/recipe) for each Work Order. This report calculates the material usage variance, both in quantity and as a percentage, to identify efficiency or waste.

### **1. Report Parameters (Filter)**

#### The main page of this module is a form containing various parameters to customize the report that will be generated.

#### Here is an explanation for each parameter:

- #### **View**: A filter for Item/Service (function is unclear).
- #### **Work Order Date**: Specify the **From** and **To** date range for the Work Orders whose material usage will be analyzed.
- #### **Work Order Number**: Select **All** or **Select Work Order Number** to focus on a specific production batch.
- #### **Item/Service Name**: Select **All** or **Select Item/Service Name** to focus on a specific finished good.

### **2. Steps to Generate the Report**

#### **Step 1: Set Report Parameters**

#### Define the parameters you need, especially the **Period** and the **Work Order Number** or **Item/Service Name** if you want to focus on a specific analysis.

#### **Step 2: Generate the Report**

#### After all parameters are set, click one of the two buttons at the bottom:

- #### **\[Display Report\]**: To preview the comparison report directly on your screen.
- #### **\[Export to MS Excel\]**: To download the report data in an Excel file format.

### **3. Reading the Report (Report Content)**

#### The generated report is a comparative analysis of raw material usage per Work Order.

#### **Key Column Explanation**

- #### **Raw Material Used**: Details each raw material that was used.
- #### **Std Qty**: The standard quantity of raw material that should have been used according to the BOM.
- #### **Actual Qty**: The actual quantity of raw material issued from the warehouse.
- #### **Difference**: The quantity variance (**Actual Qty - Std Qty**). A negative value means more efficient; a positive value means waste.
- #### **% Difference**: The variance as a percentage.

### **Tips & Important Notes**

- #### This report is very similar to the *Report on Raw Materials / Supporting Materials Used*, but may have a slightly different focus or format. Both are used to analyze material usage variance.
- #### Use the **Difference** and **% Difference** columns to identify which raw materials or Work Orders have the highest level of waste.
- #### This is a key analysis report for **Production Managers and Cost Accountants**.