Know-How
This section will provide you with all the necessary information to understand and complete the Module 2 section which revolves around creating meaningful charts using only LOGIBLOX tools. They are specifically designed to make your tasks as easy and comprehensible as possible.
Guide on types of charts
Introduction
Charts help simplify complex data and reveal insights. Choosing the right chart depends on your data, your audience, and the message you want to convey.
Types of Charts
Your choice of chart type will depend on multiple factors. What are the types of metrics, features, or other variables that you plan on plotting? Who is the audience that you plan on presenting to – is it just an initial exploration for yourself, or are you presenting to a broader audience? What is the kind of conclusion that you want the reader to draw?
Shows values with bars representing different groups. Use vertical bars for simple comparisons, horizontal bars when labels are long or space is tight.
Displays trends over time or other continuous values. Helps visualize changes, patterns, and forecasts.
Plots two numeric variables to reveal relationships, patterns, and outliers. Useful for spotting trends and gaps.
Guide on ABC and XYZ analysis
Introduction
ABC/XYZ analysis helps in the optimal evaluation and distribution of goods in the warehouse according to their relevance and predictive accuracy. It is a combination of ABC analysis and XYZ analysis. Thus, a company can classify the relevance of their products according to their who, their sales, as well as their expected consumption. A prioritization takes place thus on the basis of the economic importance.
ABC
ABC analysis serves as financial analysis procedure. Part of the analysis is the evaluation and categorization of customers, tasks, goods etc. into the classes A (high priority), B (medium priority) and C (low priority). In particular in product management the ABC analysis is frequently used. The ABC analysis is based on the Pareto principle (80/20 rule), named after Vilfredo Pareto, which states that 80% of results are due to 20% of the total time of the process. Simply put, the focus should be on what is most important. In a logistics context, this means that 20% of all items in the warehouse account for 80% of goods movements, and therefore it is important to focus on these items or to focus primarily on the warehouse movement of these items.
In many companies, most of the work is heaped on a few products and goods. Most inventory costs are due to a few expensive items and much of the revenue is due to a few sales. Therefore, resources, efforts and personnel should be directed to managing the most important and expensive items. They are responsible for a large percentage of the bottom line (Pareto principle).
XYZ
XYZ analysis is a way to classify inventory items according to the variability of their demand or derived/forecasted consumption. XYZ analysis can be used to plan material requirements and inventory levels so that waste, production delays, or excessive inventory levels can be avoided. XYZ analysis evaluates the ability to plan consumption and demand.
Combining ABC and XYZ analyses into an automated process gives companies a much more comprehensive view of their goods and customers' needs. Instead of three categories, ABC/XYZ analysis gives nine categories for classifying materials, goods and consumption. In the material management this analysis is therefore one of the most important aids for a lasting inventory optimization.
By the method a still more differentiated picture of the structure of the assortment of an enterprise results. The entire assortment can thus be tailored more specifically to the needs of the market. Even articles with unforeseen sales can be quickly identified with the help of the precise sales analysis and taken into account at short notice. The combination of both methods is an effective rationalization tool. It results in an optimal ordering rhythm for the products, so that excessive capital commitments and write-offs can be avoided.
ABCXYZ
By the combination of ABC and XYZ analyses a connection between the value portion of individual goods and the temporal need and/or consumption process of the respective article is manufactured. From this, important conclusions can be drawn for future assortment planning.
Taken from: https://www.remira.com/en/glossary/abc-xyz-analysis and https://chartio.com/learn/charts/essential-chart-types-for-data-visualization/
Well done! Now lets move on to the first mission of this section!