NS Syndrome /Lost Sales (Continued)
Posted: Sat Apr 08, 2000 3:53 pmFor those of you who have gotten to the bottom of the first thread, click on page two for continuation and another posting by DAVID S. in response to BCLARK.
David, you bring up some valid points here. One small problem though. ERA does offer a piece count for phase in as well; ( Option 2 of the Phase-In prompt in Program 2323)
We do track our dealers 'forced stock' parts in a completely different source. Mainly for the reason David has stated here. What really happens to forced stock that you had a demand on and you put it to your general inventory?
By setting up these sources, we have been able to look at how many of the original customers (especially warranty customers coming back for the initial repair) come back for the same part. We have found it to be roughly 30% of the forced stock parts are sold eventually to the customer they were intented for.
I suggest, no matter how you post a lost sale and at what time you do it, that you set up a single source to track your forced stock.
I am beginning to see your point, David. Ultimately, no matter how you post your lost sales, your phase-in criteria will put it on your stock order. At this point, the manager can make a decision to either stock the part or move it into a tougher phase-in source regardless of the amount of 'hits' or demand it has! The system setups should be setup and understood by the parts manager as to when that will happen.
Chuck Hartle'
David, you bring up some valid points here. One small problem though. ERA does offer a piece count for phase in as well; ( Option 2 of the Phase-In prompt in Program 2323)
We do track our dealers 'forced stock' parts in a completely different source. Mainly for the reason David has stated here. What really happens to forced stock that you had a demand on and you put it to your general inventory?
By setting up these sources, we have been able to look at how many of the original customers (especially warranty customers coming back for the initial repair) come back for the same part. We have found it to be roughly 30% of the forced stock parts are sold eventually to the customer they were intented for.
I suggest, no matter how you post a lost sale and at what time you do it, that you set up a single source to track your forced stock.
I am beginning to see your point, David. Ultimately, no matter how you post your lost sales, your phase-in criteria will put it on your stock order. At this point, the manager can make a decision to either stock the part or move it into a tougher phase-in source regardless of the amount of 'hits' or demand it has! The system setups should be setup and understood by the parts manager as to when that will happen.
Chuck Hartle'
[This message has been edited by Chuck Hartle (edited 04-08-2000).]