How To Calculate GMAU in Odoo ERP | Arithmix

Learn how to calculate Gross Margin After Unfulfilled (GMAU) in Odoo ERP with our step-by-step guide. Improve your financial analysis and make informed business decisions with this essential tool.

Calculating GMAU in Odoo ERP can be a valuable tool for businesses to measure their performance and identify areas for improvement. But before we dive into the calculation process, let's first understand what GMAU is and when it's valuable to calculate.

What Is GMAU?

GMAU stands for Gross Margin Return on Average Unit. It's a metric used to measure the profitability of individual products or product lines. Essentially, it tells you how much profit you're making on each unit sold after accounting for the cost of goods sold (COGS).

COGS includes all the direct costs associated with producing or acquiring a product, such as materials, labor, and shipping. By subtracting COGS from the revenue generated by selling a unit, you get the gross margin. Dividing the gross margin by the average unit cost gives you the GMAU.

For example, if you sell a product for $50 and it costs you $30 to produce, your gross margin is $20. If the average cost per unit is $40, your GMAU is 0.5 or 50%. This means that for every dollar you spend on producing the product, you're getting 50 cents back in profit.

When Is It Valuable To Calculate GMAU?

GMAU can be a valuable metric for businesses in a variety of situations. For example:

  • When introducing a new product: Calculating GMAU can help you determine whether a new product is worth investing in. If the GMAU is low, it may not be profitable enough to justify the costs of production and marketing.
  • When evaluating product lines: GMAU can help you identify which product lines are the most profitable and which ones may need to be discontinued or improved.
  • When negotiating with suppliers: Knowing your GMAU can give you leverage when negotiating with suppliers on the cost of raw materials or other inputs.
  • When setting prices: GMAU can help you determine the optimal price point for your products based on their profitability.

Overall, calculating GMAU can provide valuable insights into the profitability of your products and help you make informed business decisions. By using Odoo ERP to track your COGS and revenue data, you can easily calculate GMAU and use it to drive your business forward.

How Do You Calculate GMAU in Odoo ERP

Odoo ERP itself isn’t naturally geared towards letting you calculate complex metrics like GMAU. As an alternative, teams typically use products like Arithmix to import data from Odoo ERP and build out dashboards.

What is Arithmix?

Arithmix is the next generation spreadsheet - a collaborative, web-based platform for working with numbers that’s powerful yet easy to use. With Arithmix you can import data from systems like Odoo ERP, combine it with data from other systems, and create calculations like GMAU.

In Arithmix, data is organized into Tables and referenced by name, not by cell location like a spreadsheet, simplifying calculation creation. Data and calculations can be shared with others and re-used like building blocks, vastly streamlining analysis, model building, and reporting in a highly scalable and easy to maintain platform. Data can be edited, categorized (by dimensions) and freely pivoted. Calculations are automatically copied across a dimension - eliminating copy and paste of formulas.

Arithmix is fully collaborative, giving your entire team access to your numbers and the ability to work together seamlessly.

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Calculating GMAU in Arithmix

Calculating metrics like GMAU is simple in Arithmix. Once you've created your free account, you’ll be able to import your Odoo ERP data, and use it to create natural language formulas for metrics like GMAU.

Arithmix is designed to give you the power to build any calculations you want on top of your Odoo ERP data, while also being easy to use and collaborate on. You can share your dashboards with users inside and outside of your organisation, making it easy to empower your whole team.

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