Inventory and COGS Analysis (Cost of Goods Sold Controlling)

ERP reports give raw data (stock levels, valuations) but not analytical insight across multiple dimensions or over time. Keboola consolidates across modules (inventory, production, sales) to deliver contextual analysis like combining sales forecasts with inventory, or linking variances to financial outcomes. ERP reports are often rigid – customizing them for "flag items with over 90 days supply" or "split cost variance by cause" isn't easy or requires expensive modules. Keboola lets you tailor exactly what you want and include external data (commodity price indices to explain cost changes, competitor stock levels from market data). Plus, if you have multiple ERPs or data sources (common in large firms or after acquisitions), Keboola unifies them into one view. ERP is the transaction source, but Keboola is the brain making sense of it all flexibly. Many companies use ERP for processing but rely on BI platforms for controlling insights – that's the gap we fill.

Ideally, inventory data updates daily (especially for fast-moving businesses). Variance analysis typically happens monthly when books close (when standard vs actual gets computed formally). But you can track operational metrics like yield or scrap daily/weekly to catch issues early – those won't be in final dollars until month-end, but trend-wise you'll see problems developing. So: inventory levels – daily; production metrics – daily or weekly; full costing analysis – after period close (with mid-period estimates if needed). Keboola handles different cadences, pushing updated data to the same dashboard. Early in the month you see operational previews, after closing the financial version. This is far better than waiting weeks after month-end to realize you had major variances. In volatile cost environments, some companies even do mid-month cost roll-ups to foresee margin impacts – which the system supports by mid-period actualization of some costs. More frequent data refresh equals quicker reaction.

Yes, we can implement those calculations. LIFO reserve calculation (difference between FIFO cost and LIFO cost) can be automated by layering inventory by purchase dates/costs and valuing accordingly – if your ERP doesn't do it or if you want separate verification. Lower of cost or market (net realizable value) testing can be done by bringing in selling price info: compare cost vs current selling price for items, flag if cost > price (impaired inventory), then produce suggested write-downs. These tasks are often done with painful spreadsheets annually; we can do them periodically with up-to-date data, so you aren't surprised by big write-downs at year-end. If multiple accounting standards require different treatment (maybe FIFO for internal, LIFO for tax), we can compute both. Transfer pricing for inventory (if goods move between countries at certain prices) can be monitored to ensure no unintended profit buildup in one entity's stock. Essentially, any accounting logic related to inventory can be programmed in, ensuring compliance and foresight. It's like having continuous audit on inventory values so you remain compliant and optimize outcomes (like timing LIFO layer liquidations). This goes beyond basic controlling into strategic inventory accounting, which Keboola's flexibility supports.