Lean Manufacturing Terms ABC Analysis
Sequential ordering of product variants by quantity or value sold.
The goal is to distinguish high volume parts from low volume parts.
ABC
80% of the units or sales are represented by only around 20% of the part types (the “A” parts).
The next 15% of the units or sales are the “B” parts,
and the last 5% with low sales of many different part types are the “C” parts.
See also the 80-20 rule, the XYZ Analysis, and the ABC YXZ Analysis.
