months supply
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jazdale
months supply
Pretty broad subject.
Could you define a little more of what you're trying to achieve?
Stockorder calculations?
Excess returnable stock?
Your depth and breadth needs?
Stockorder frequency?
Fill rate concerns?
Physical constraints of your facility?
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To hedge your question.
I guess a simple answer would be to divide your per part annual sales into 12.
This would give an average quantity of your monthly demand, without regard to seasonality.
So for example if a part sold 24 times in the past 12 months, you would have a monthly supply of 2.
Fractions greater than .5 I would round up to one (which would represent parts that sold between 6 and 11 times in a year)
Could you define a little more of what you're trying to achieve?
Stockorder calculations?
Excess returnable stock?
Your depth and breadth needs?
Stockorder frequency?
Fill rate concerns?
Physical constraints of your facility?
****************
To hedge your question.
I guess a simple answer would be to divide your per part annual sales into 12.
This would give an average quantity of your monthly demand, without regard to seasonality.
So for example if a part sold 24 times in the past 12 months, you would have a monthly supply of 2.
Fractions greater than .5 I would round up to one (which would represent parts that sold between 6 and 11 times in a year)