Portfolio / Case study 02
COGS and inventory valuation model
A weighted-average inventory and COGS model that gave the business product margins based on real landed costs.
Project walkthrough
See how the work was put together
$ start project "COGS and inventory valuation model"
✓ Brief agreed with Vankea
✓ Collected purchase, freight and duty data by shipment
✓ Built a weighted-average costing model at SKU level
✓ Reconciled stock movements against sales records
→ Review with the client…
● Delivered and handed over
The project
Problem, approach and result
The challenge
Product margins were estimated from supplier prices alone. Freight, duties and batch-to-batch price changes were not reaching the cost of goods sold.
What I did
- Collected purchase, freight and duty data by shipment
- Built a weighted-average costing model at SKU level
- Reconciled stock movements against sales records
The result
Margins by product were based on landed cost, which made pricing and reorder decisions far easier to defend.
Gallery and links
Screens from the project
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Services used
The services behind this project
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