variance report

A variance report compares actual performance or results against planned or budgeted expectations. It highlights the differences, showing where things went better or worse than expected. For example, if a project budget was $10,000 but spent $12,000, the report indicates a negative variance, signaling overspending. Similarly, if sales targeted were $50,000 but achieved $55,000, it shows a positive variance. This report helps organizations identify areas of concern or success, enabling better decision-making, resource allocation, and performance management. Essentially, it’s a tool to monitor and analyze deviations from plans to improve future outcomes.