October 15, 2019

Lean Manufacturing Terms – ABC Analysis

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.

 

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