Classification standard and core idea of 1ABC classification management method
ABC classification management, also known as Pareto classification (ABC analysis), was first proposed by Italian economist Pareto. Its core idea is to "grasp the key points and distinguish between primary and secondary", find out the key minority and secondary majority, adopt different management strategies for different types of products, realize the most economical and effective use of manpower, material resources and financial resources, and maximize the management benefits of limited resources. So it is also called key management method. ABC classification management classifies inventory items into particularly important inventory (Class A) according to the variety and the amount of funds occupied; General inventory (Class B); The unimportant inventory (Class C) has three grades, and then it is managed and controlled according to different grades. ABC management is to divide commodities into three categories, such as positioning high-value commodities accounting for about 10% of the total as Class A; Low-priced items, accounting for about 70% of the total, are classified as Class C; 20% between A and C is Grade B. In inventory management, all kinds of goods should be treated differently. A-class goods should be reduced as much as possible without shortage, and they should be ordered in small batches and counted monthly. Class C may customize the safety stock level, conduct general management, order in large quantities, and take inventory at the end of the year; Class B is between the two, and it is calculated once every six months.
2ABC classification management thought teaching expansion
For warehouse management, under the premise of ensuring safe inventory, it is necessary to store in small batches and in batches as needed, so as to reduce the total inventory as much as possible, reduce the warehouse management cost, reduce the occupation cost and improve the capital turnover rate. The traditional ABC classification standard is too simple, mainly based on the amount of funds occupied by inventory items. This method has some defects, such as the phenomenon that a product may be classified as a class C material, but it is an indispensable and important link in the production process. In case of shortage, production will stop. Therefore, in the actual inventory planning control of enterprises, it can not be managed completely according to ABC classification. Specific teaching can be carried out from the following two aspects:
2. 1 Simplify teaching
The core idea of ABC classification management is to distinguish primary and secondary, light and heavy, key minority and minor majority, and implement classification management. Therefore, in actual teaching, this core idea can be refined and infiltrated into teaching. In specific teaching, students can be guided to choose appropriate classification standards according to the actual situation, such as dividing the management objects into three categories of ABC according to the frequency of material turnover, the amount of turnover, the importance of customers, and the impact of shortage. For example, when allocating the location of the goods storage area during warehousing (when the entrances and exits are adjacent), the materials with high turnover frequency can be divided into Class A according to the turnover frequency of the materials, and their storage locations can be arranged near the entrances and exits for key storage management. Materials with general turnover frequency are classified as Class B, and their storage locations are arranged near the materials adjacent to Class A, and then near the entrances and exits, which are generally managed. Materials with low turnover rate are classified as Class C, and their storage locations are arranged far away from entrances and exits. According to the idea of ABC classified management, according to the ratio of the number of incoming and outgoing warehousing times to the total number of incoming and outgoing warehousing times, and considering the turnover times comprehensively, the G, H and C materials with cumulative turnover rate over 60% are classified into Class A and stored near the incoming and outgoing warehousing, and priority and key management are given to the allocation of goods positions, so as to facilitate the outgoing from warehousing operation, reduce labor consumption and improve warehousing efficiency. Materials such as. E, A, and D, which account for less than 65,438+00% of the total warehousing times, are classified as Class C and stored in the farthest position from warehousing. The middle material B, turnover and turnover times are generally classified as Class B materials, which are stored near the entrance and exit and are generally managed. The specific calculation and division results are shown in Table 2. Another example is ABC classification management of goods warehousing, which can be carried out according to turnover. For Class A materials with large sales volume and fast turnover, the normal turnover period is generally controlled, and the turnover should account for about 60% of the total inventory. For Class B materials, the turnover cycle should be shortened appropriately, and the turnover times should account for about 30% of the total inventory. For class C materials, the average turnover should account for about 10% of the total inventory. In the control and management of material storage, the maximum and minimum reserve quotas can be used as the lower limit of material storage. For Class A materials, the reserve amount should be as small as possible, and the reserve amount should be issued item by item, with emphasis on control. Class C materials can be controlled by thick lines, and reserve quotas can be issued according to major categories. For Class B materials, intermediate control can be implemented, reserve quotas can be issued according to varieties, and they can be moderately relaxed. Clear priorities and orderly management; Highlight key points and strike hard. For another example, ABC classified management can also be applied to customer management. For example, in the management of distribution customers, a small number of distribution units with large consumption can be divided into class A, distribution units with medium consumption or large consumption but unstable consumption can be divided into class B, and some sporadic, temporary and small consumption enterprises can be divided into class C. Class A customers deliver goods on time, class B customers accompany them in normal batches, and class C customers outsource delivery or use them for car distribution.
2.2 deepening teaching: combining CVA method
On the basis of mastering ABC teaching, deepen ABC classification thought and guide students to think about the defects of ABC classification management method. For example, the shortcomings of the main ABC classification methods are often manifested in: Class C projects are not paid due attention because of the small amount, which often leads to production stoppage or production accidents due to shortage. Therefore, CVA management is introduced to supplement ABC classification. CVA classification, that is, critical value analysis, classifies items into 3-4 categories according to their criticality, namely, highest priority, higher priority, medium priority and lower priority. This classification has a stronger purpose than ABC method. And some projects in category C may also play a key role in the enterprise and should be given the highest priority. ABC classification focuses on the quantity of commodities, while CVA classification emphasizes the function of commodities. For example, the inventory of medical consumables in hospitals is first classified according to ABC method, and then different priorities are divided according to the importance of consumables and clinical needs. If some medical consumables are special consumables used to rescue patients, they must be given the highest priority, and attention should be paid to inventory management, and shortage is not allowed.
3 Conclusion
The core idea of ABC classification is to distinguish primary and secondary, light and heavy, key minority and secondary majority, and implement classification management. In actual teaching, students can simplify or expand the teaching according to their own understanding and mastery. For example, according to different fields of logistics management, the classification standard can be changed or simplified. For example, in warehouse management, ABC materials can be divided according to the frequency of goods entering and leaving the warehouse for different management. In the warehousing process, ABC materials can also be divided and managed at different levels based on turnover; In the aspect of customer management, we also manage customers by ABC classification according to customer demand and amount. In the hospital drug inventory management, due to the different importance of drugs, in addition to the ABC classification management according to the inventory quantity and amount, it is also necessary to consider the impact of shortage and combine the critical factor analysis (CVA) method for classification management.
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