Resetting Site Losses or Gains

Resetting Site Losses or Gains

Resetting Site Losses or Gains 

Maintaining accurate site reconciliations does take a lot of effort on your part.  Resetting site losses or gains can be done by account pallet controllers but opening balances need to be checked by support@palletwatch.com.au.  Please click on the following link to read more on Site Reconciliations.

Opening Balances

The process of site rebalancing starts with site opening balances set so that they align with the opening balance for the account.  If the opening site balances require the sites to start with a zero variance, i.e. no loss or gain, then one or more sites need to be created as Admin sites.  Admin sites opening balances are set so that the operating sites + the Admin sites equals the Account opening balance as per the first CHEP or Loscam invoice in PalletWatch.

Resetting Site Losses or Gains

There may come a time when you believe that the reconciliation reports for sites needs to be reset, i.e. you want to provide the sites a reset with no loss or gain.  The steps to achieve this are:
  1. Conduct an accurate equipment count in line with the hire company close off date.
  2. Fully reconcile the invoice that is to be the starting point for the rebalance.
  3. Check uninvoiced transactions and cancel or action as appropriate.
  4. Run the Reconcile Report using the Site option of Sites - Zip.  This report has an Overview sheet which gives you your starting point.
  5. Bringing a site back to a 0 variance where there is no loss or gain is the objective.  If the site already has a 0 variance then no further action is required for this site.
  6. If the site does have a variance then that variance needs to be moved to an Admin site.  This is sone by raising a Depot to Depot move between an operational site and an Admin site.  If the site has a surplus then the depot to depot move needs to be from an Admin site to the operating site.  If the site has a loss then the depot to depot move needs to be from the operating site to the Admin site.  When the depot to depot move has been done then you should be able to run a Reconcile report which will show the site with a 0 variance.

Determining the Quantity of the Depot to Depot Move

In determining the quantity to be moved there are a few considerations.  There are parts of the reconciliation that can not be changed, they are:
  1. The stocktake figure.
  2. In transit equipment.
  3. Owed equipment.
  4. Uninvoiced equipment.
  5. The variance.
This only leaves the Invoice Closing Balance that can be changed to end up with a variance of 0.

Invoice Closing Balance

It is possible that when the Depot to Depot move is done the Invoice Closing Balance is a negative number.  Consider that the variance number is derived from the following:

Stocktake + intransits + or - owed equipment
minus
Invoice closing balance + or - uninvoiced transactions

The result is the variance which the reset requires to be 0.  The invoice closing balance does not need to be 0.  If it was set to 0 then it is possible that the variance will not be 0 which is the main objective of resetting losses or gains.  See attached file which shows some different scenarios.

It is however important that the total of the site variances equals the total account variance.  This should mean that all of your operational sites have a 0 variance and all of the losses or gains are assigned to the Admin sites.

It is also important that the total of the operating site and Admin site invoice closing balances total the total of the account invoice closing balance.

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