We all want to optimize, but how? Here’s 3 easy ways to show your CEO how simple ABC Analysis can optimize your business.
“The warehouse is full of dead products – and they keep piling up”
How many products have not sold for the last year? Find out how much of your stock value they account for – it might be staggering high.
Identify dead products – in ABC Analyzer
“Our most important products are handled by our junior purchaser”
Who’s in charge of your core products (AA)? Make sure they are handled by skilled people that acknowledge their importance for your company’s overall performance. Most likely your core products are scattered randomly among your purchasers, and unexperienced employees are not aware of their importance.
Who’s in charge of your important products? – in ABC Analyzer
“I found a cheap way to increase our service level to 100 %”
You have cheap, always-selling products in your portfolio. They are to you, what milk is to most supermarkets: You sell them every day, customers except them to be there, and you don’t earn a lot. It will cost you next to nothing to maintain a service level of 100 % (as they are cheap to keep in stock) – and it will mean the world to your customers.
Which products should have a 100 % service level? – In ABC Analyzer