Public methodology
This methodology prevents vague ROI claims from becoming evidence. Every published result should define the metric, baseline, measurement period, scope, data source, calculation, exclusions, and verification date.
Published and verified: 2026-06-15
| Metric | Formula or definition | Required disclosure |
|---|---|---|
| Stock variance value | Absolute value of physical quantity minus system quantity, multiplied by the agreed valuation basis for each item. | State whether valuation uses cost, landed cost, weighted average cost, or selling price. Do not mix bases across periods. |
| Stock variance rate | Stock variance value divided by the stock value exposed to the count, multiplied by 100. | Use comparable locations, items, and count scope. Report known damage, expiry, and approved adjustments separately. |
| Transfer discrepancy rate | Number of transfer lines with unresolved send/receive differences divided by transfer lines received, multiplied by 100. | Also report value and age of unresolved differences because one high-value line can matter more than many low-value lines. |
| Reconciliation time | Elapsed working time from count close to approved variance resolution and posting. | Define whether waiting time, investigation time, and approval time are included. |
| Order error rate | Orders requiring correction, refund, replacement, or manual recovery because of stock or fulfilment error divided by completed orders. | Do not include customer-choice returns unless the analysis explicitly covers them. |
| Founder intervention rate | Operational exceptions requiring founder action divided by total tracked operational exceptions. | Define an intervention as an approval, correction, escalation, or decision that a delegated role could not complete. |
| Reporting latency | Time between the end of an operating period and delivery of a decision-ready report. | A report is decision-ready only when material exceptions and reconciliation status are included. |
| Operational-control maturity | Average score across receiving, transfers, pricing, reconciliation, permissions, and reporting, converted to a 0–100 scale. | This is a diagnostic score, not a guarantee of loss reduction or fraud prevention. |
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