Using Raw Goods
Raw Goods are sub-items that allow you to track the components that make up your basic inventory items. Assemblies are your inventory items that have Raw Goods attached to them. For example, if your restaurant sells a large coffee, creating and attaching the raw good “large coffee cup” and “large coffee lid” helps you track how packaging you’re selling with the coffee. Learn when you should use Raw Goods and how to enable, add, and attach them to items.
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What are Raw Goods?
Raw Goods are an additional inventory option you can enable at your discretion. They allow you to track components that are used when you sell a basic inventory item, but which are not sold directly to customers. For example, if you sell a large coffee, creating and attaching the Raw Good “large coffee cup” helps you track how much packaging you use when you sell a coffee.
Raw Goods are imperfect and do not always report 100% accurately as factors such as spillage, waste, etc. can affect inventory levels. We recommend referring closely to your Sales Reports for an accurate assessment of Raw Good sales.
When to Use Raw Goods
Here are a few times when you should take advantage of using Raw Goods with your items.
- When the Raw Goods are "paper goods" or they do not expire.
- When the same item is sold in several different ways.
- EXAMPLE 1: If you sell wine by the glass and by the bottle, you can track exactly how much is used. When you sell a glass, .2 of a bottle is removed from the wine Raw Good, and, when you sell a bottle, 1 full bottle is removed from the wine Raw Good.
- EXAMPLE 2: If you sell a “Pulled Pork Sandwich” made to order and it always uses .5 lbs of pork, .5 cups of BBQ sauce, and 1 plastic container, you can have each component item pulled from Raw Good inventory as the sandwich is ordered at the register.
- When a menu item does not have modifiers such as different sizes or add-ons.
- To use Raw Goods effectively, these variations must be set up as individual items, like a small regular coffee, small vanilla coffee, and medium black coffee.
- When you’re selling a pre-made set, kit, or gift basket of items that are also sold individually.
- EXAMPLE: A gift basket is made of different bags of ground coffee, but each bag is also sold individually according to flavor and size, such as Large Bag Sumatra, Medium Bag Breakfast Blend, or Small Bag French Roast.
- Vape shops and retail boutiques typically benefit from using Raw Goods in this way.
- Menu items that are made to order with no "on the fly" modifications.
When Not to Use Raw Goods
Here are some instances when you should consider not using Raw Goods with your items.
- When tracking modifier items is important to your inventory.
- If consumed items are not tracked at the register.
- EXAMPLE: When you order a burrito and select ingredient options while walking down the line before reaching the register. The cashier does not ask you for all of the ingredients in your burrito, but instead just charges you based on menu item, size, and premium side add-ons, like guacamole (an individual inventory item).
- If the item may be lost, spoiled, or thrown out if not used during its lifespan.
- EXAMPLE: Chopped tomatoes are prepared at the start of the day. These are discarded whether used or not, but Raw Goods only pull from inventory as sold and, as a result, will often be underreported.
- When you calculate the exact amounts of a batch for inventory and ordering.
- EXAMPLE 1: With a pre-made item like cookies, ingredients (milk, eggs, etc.) are calculated and portioned prior to the item being sold. Raw Goods, however, only pull the components from inventory as an item is sold.
- EXAMPLE 2: If 2 lbs of butter, sugar, and flour are used when making one batch of cookies, but you don’t sell all of the batch’s cookies, the Raw Good inventory report will be off. The system will only deduct Raw Goods for the sold cookies, but in reality, 1 batch worth of ingredients was used.
Before setting up Raw Goods, consider these suggestions:
- When creating raw goods, keep each raw good in the same unit of measure, or easily convertible, i.e. metric system (if possible).
- Disable inventory tracking for each item with a raw good attached.
Note that Manage Assemblies and Kits require inventory to be tracked, but because tracking raw good inventory can cause item quantities to update incorrectly, we recommend Not Tracking items with Raw Goods, disregarding Manage Assemblies, and updating Raw Good inventory counts from the Adjust Inventory screen.
- If possible, create your raw goods first, then the stock item to avoid extra work.
- Set proper order triggers to help streamline your reporting.
Enable Raw Goods
Raw Goods are not enabled by default and must be turned on in your BackOffice settings.
- Click ‘Settings’ and select ‘Inventory’.
- Check the 'Enabled' box and click ‘Save’ to confirm.
Add a New Raw Good
Raw Goods exist separate from sellable inventory items. They are created with their own tracking and management information and attached to items.
- Click 'Items' and select 'Raw Goods'.
- Click 'Add Raw Good' to create a new raw good.
- Enter the necessary details for the Raw Good and click 'Save'.
Description is the only required field.
- Follow the steps below to attach the Raw Good to an inventory item.
Attach Raw Goods to Items
Since you cannot sell them on their own, attach Raw Goods to basic inventory items to begin tracking them.
- Click ‘Items’ and select ‘Item List’.
- Choose a basic item to attach the Raw Good.
Only basic items can have Raw Goods attached. Items with variants are not compatible with Raw Goods.
- On the item, click the ‘Raw Goods’ tab.
- Click ‘Add a Raw Good’ to begin.
- Enter a 'Quantity' and search for a Raw Good to attach.
- Click ‘OK’ to confirm attaching the new Raw Good.
Tracking Raw Goods
Since Raw Goods are not like other items, use the Raw Goods Value Report to see the state of all Raw Goods at a glance and use Update Inventory to replenish them.
Raw Goods Value Report
Run the Raw Goods Value report to see the current value of all Raw Goods in inventory or to check the quantity on hand, cost, and value of specific Raw Goods.
Looking for inventory item value? Visit our Inventory Value Report article to learn more.
The Raw Goods Value report shows only the current value of Raw Goods. Historical values cannot be retrieved. To get date-specific values, you must manually run the report in BackOffice on the day needed (i.e. if you need the report for December 31, you must run it on December 31).
- Click ‘Reports’, then 'Raw Goods Value Report'.
- Click ‘Raw Goods’ to view the value of Raw Goods in inventory.
The report displays the current total value of all stock items and Raw Goods followed by the quantity on hand, cost, and value of individual Raw Goods.
Description | Name of the Raw Good as entered in BackOffice.
Quantity on hand | Total count of the Raw Good in stock.
Cost | Amount paid to acquire the Raw Good based on the last cost entered.
Total | The Raw Good’s value. Quantity on hand multiplied by Cost.
Updating Raw Good Inventory
Adjust the inventory levels of Raw Goods like you would with any other item.
- Click ‘Items’ and select ‘Update Inventory’.
- Select ‘Count Inventory’ from the drop down menu.
- Search for a raw good by name and click on it.
- Enter the number of units on hand for the raw good.
- (Optional) Enter a comment for the adjustment.
- (Optional) Click '+ Add another item' and repeat steps 1 - 5 to add additional raw goods to the page or use the search bar to quickly add raw goods.
- Click 'Update' to finish adjusting the raw good(s).
After setting up your raw goods and attaching them to inventory items, use the Manage Assemblies page in BackOffice to quickly update the quantities on hand of your assemblies (inventory items that have Raw Goods attached to them). Note that these quantities are of the item, not the raw goods associated with them and raw good quantities will not be updated. Additionally, items with Raw Goods that are not tracked will not show up on the manage assemblies list. We recommend updating item and Raw Good quantities from the Update Inventory screen instead.
- Click ‘Items’, then ‘Manage Assemblies’.
- Select from the list of items.
Only items with Raw Goods attached to them will be listed on this page.
- Adjust quantities as needed.
- Click ‘Update quantities’ to save the changes.