High Returns Ratio - Office Exceptions

This report focuses on stores exhibiting a high ratio of returned transactions to sales.  Usually, a high return ratio can be explained by discounting (coupons, liquidation, trade-ins) or other activities which are part of your store's operation.  However, because there is a heightened risk of errors and fraud with these types of transactions, you should: 

1. Ensure your store has a good policy that documents these transactions.
2. Regularly audit these transactions for adherence to policy.

Steps to process this report: 

1. Bring up the listed SKU in ITR (Inventory Transaction Register).
2. Bring up the listed SKU in QR (Quick Recall). 
3. Bring up the listed SKU in CRV (Customer Returns Viewer).
4. Look for anomalies and audit: 
   1. Are there point-of-sale transactions in ITR but not represented in QR? 
   2. Is the same clerk ID making a majority of the transactions? Is there a dollar or customer pattern? 
   3. Are transaction returning net money?  If so, are they to a common credit card number? 
   4. Audit significant or anomalous transactions.
      1. locate paperwork associated with the transaction.
      2. Review video footage if necessary.

Tips

Ask for clarification if you are confused. 

Send us a note if you need help: support@mangoreport.com.

Ace has a great Loss Prevention department if you expect fraud. 

Note: it is highly unusual to uncover fraud when processing this report (but it's happened).  However, having (and adhering to) tight procedures when it comes to large credits and returns is always a good practice. Processing this report can help spot errors and fraud before it gets out of hand.