Revenue, Margin and Volume Trend Last 12 Months
First, the respective metric (revenue, margin or volume) is calculated for every single time unit.
Customer level: time unit = month
Product level: time unit = month
The least-square approach is used to compute the trend. See the Fitting a trend: Least-squares section in the Linear trend estimation Wikipedia article.
Formula
x is the month number (like month 1 would be the first month in scope)
x̄ is the average month number
y is the metric to consider, like margin
ȳ is the average metric to consider, like average margin
To convert the trend value â back to a percentage, the following formula is used: â / average(metric)
Periods with no transactions are considered to have zero revenue, margin, and volume, and are included in the trend computation.
Example
Find the example in the the following attachment:
This calculation is utilized in the following portlets affected by the trend calculation change:
Customer Summary (Trends, Health Score)
Customer Health Summary (Health Score)
Trends (Trends)
Customer Summary (Trends, Health Score)
Customer Summary (Trends, Health Score)
Trends (Trends)
Product Health Summary (Health Score)
Average Invoice Price per Customer Revenue Class Last 12M (Product Classification)
Revenue, Margin and Volume Trend YTD
The least-square approach is used (see the Last 12 Months computation above). This calculation is utilized in the portlets (mentioned above) affected by the trend calculation change.