Inventory age analysis is the key content to be analyzed by manufacturing enterprises, but in practice, we will encounter two problems:
1. ERP inventory aging analysis report to see are detailed data, if you want to reflect the distribution characteristics of the overall inventory age, we need to manually carry out a large number of processing, so that the frequency of this analysis work will become very little, sometimes quarterly, or even half a year only once, so that many problems will be found when they are more serious;
2. For the manufacturing industry, it is normal to have thousands of materials, just according to the distribution of the inventory age of the most detailed materials, or the overall inventory age distribution, it is impossible to really quickly identify problems, analyze problems, and make quick decisions and actions.
So today, let's demonstrate how to perform inventory age analysis. Through this example, we will also experience the difference between report query and data analysis, and what is the real data-driven operation.
Let's go directly to the system and open the inventory age analysis report, through this report, you can see:
1. What is the number and amount of inventory in different inventory age ranges?Through the proportion of the amount, you can basically know how big the risk of inventory age is, if the proportion is higher than 181 days, it means that the risk is high.
2. From the point of view of material classification and material name, which materials are more serious, here, the severity can be quickly judged by the proportion of the inventory amount.
3. You can see the changes in the proportion of the inventory age interval in the past 12 months, and if you find that the proportion of more than 361 days is increasing, then you need to pay attention to it.
We see here that more than 361 days of sluggishness accounts for more than 30%, which indicates that the risk of inventory sluggishness is already very high, then we can click on the linkage to see which material groups or material sluggishness are the most serious. The traditional report analysis ends here, but in fact, we only know which materials are sluggish and serious, and we don't know the reason, and we can't make quick decisions on how to deal with it.
So what else do we hope to do?For example, here we see that the sluggishness of this material is the most serious, with 4.84 million, so is the sluggishness of this material caused by unreasonable procurement?At this time, we need to find the answer from the source of procurement;Or, we want to know, in which warehouse the material is sluggish?Is it that we don't care which warehouse we put it in?We know with ERP that we are used to choosing a warehouse in the system, but we will turn a blind eye to the physical objectsIn addition, this material is very sluggish for more than 361 days, so is there a similar problem in other storage age ranges?
When we have so many analytical ideas, how do we achieve them?It's very simple, you only need to double-click the mouse on this line of **, and the system will intelligently list the list of destination reports that can be drilled into the current report, and then you can select the destination report according to your needs. For example, if we want to query the procurement situation, we can search for procurement-related reports, find the report of material procurement history, and double-click the mouse.
It can be seen here that the system intelligently passes the material code, and you can see the historical supply information of all the best suppliers of the material, from order to warehousing to invoicing, including unit price, quantity, amount, number of purchases, etc. In addition, you can also see the situation of all periods in history, and through these complete procurement information, you can analyze whether there is unreasonable procurement behavior for this material.
We then select the warehouse receipt and inventory analysis report to drill through, and at this time, we can see the receipt and receipt of the material in all warehouses. You can also link the inventory of a warehouse in the past 12 months and the same period last year.
We then switch to the material aging distribution report, here you can see the distribution of the material in all warehouses, such as in this example, you can quickly see that the material is more than 361 days accounted for 53%, 31-90 days accounted for 25%, in recent months, digested a large number of 91-180 days of inventory;At the same time, in which warehouse is the main storage for more than 361 days, and in which warehouse is the main storage for 31-90 days. Seeing this, we should have a reasonable question, that is, why not digest the inventory of more than 361 days first
To sum up, with the above inventory age analysis, we can easily answer the following questions and take some reasonable actions:
If it is caused by unreasonable procurement, then you should go to the site to find out why you purchased in the first placeHow to prevent similar situations from occurring in the future?
If it's in a particular warehouse, why is it?Is it possible to find a way to change it?
If you digest the inventory with a short inventory age first, and not digest the inventory with a longer inventory, then why?
All of the above is because there is enough data to support, so that managers have a richer and more three-dimensional portrait of a phenomenon, so that we can find the general law through the key phenomena, so as to solve it in a unified way.