Please help me to answer this question, it was based on the project we did.

1. We noticed there is a significant unfavorable Labor Qty Variance. This may be caused by the errors in the Labor Rate budget. Or it could be due to inefficiencies on the factory floor. In any case, please explain the variance and what you will do to recoup some of the gross margin loss we experienced in Q1. How will you plan differently to avoid this kind of surprise?