powerpoint presentation€¦ · title: powerpoint presentation author: hui created date: 5/2/2014...
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102030405060708090
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0102030405060708090
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Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-130
10
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Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13
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Sep
-11
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No
v-1
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Dec
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Jan
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Feb
-12
Mar
-12
Ap
r-1
2
May
-12
Jun
-12
Jul-
12
Au
g-1
2
Sep
-12
Oct
-12
No
v-1
2
Dec
-12
Jan
-13
Feb
-13
Mar
-13
Ap
r-1
3
May
-13
Jun
-13
Jul-
13
Au
g-1
3
Sep
-13 0
5000
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15000
20000
25000
30000
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45000
50000
Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13
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𝑀𝑆𝐸
Tried
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0%
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A B C
% b
y va
lue
% b
y it
em
We first categorize the products into Runner, Repeater and Stranger according to Coefficient of Variation (COV). COV is calculated as standard deviation of forecasting error over average demand of product.
We then categorize according to monetary value. We adopted ABC analysis in which products were classified according to annual sales values.