Measuring Supply Chain Forecast Accuracy
Measuring Supply Chain Forecast Accuracy is usually done with Mean Absolute Percent Error or MAPE, the average of percentage errors. But there […]
Category: Definitions
Business Model Canvas
Remember how you felt when you first started drawing your first Value Stream Maps? Well that’s how I felt when I first […]
Safety Stock – How To
Safety stock is an additional quantity held in inventory in order to reduce the risk that an item will be out of […]
Material Classification Logic
Bruce asked “Do any of you have any standard material classification logic that you have used. I’m working with a client to […]
Square Root Law – inventory in multiple locations
Got asked what would happen to inventory when the number of inventory stocking locations change. I thought for a minute and remembered […]
Coefficient of Variation
A measure of the volatility or spread of a time series around the average, for example of customer orders, aka Demand Linearity, […]
Demand Profile
Maslow’s hammer, or a golden hammer is an over-reliance on a familiar tool; as Abraham Maslow said in 1969 in A Psychology […]
ABC Analysis: how to
ABC Analysis is a common management approach for prioritizing, classifying, or categorizing inventory. Inventory classification is usually based on an items price […]
Bullwhip Effect
The bullwhip effect is the result of uncertainty caused from distorted information flowing up and down the supply chain. The bullwhip effect […]
Time Value Chart
Determine Total Cycle Time Determine Queue Times between steps Create Step segments proportional to the task times Place steps, […]
Overall Plant Effectiveness
The Eight Major Plant Losses Shutdown Production adjustment Equipment failure Process failure Normal production loss Abnormal production loss Quality defects Reprocessing
Waterspiders as continuous improvement innovators
The term Waterspider or water beetle (mizusumashi in Japanese) comes from the behavior of the insect known in the States as a […]