Professional Documents
Culture Documents
Material
Consumption
25/6/2013
Ori Donner
BI Manager
Objective
• Determine the target inventory level of raw material.
Designations
• Identify the real variance of material consumption , disregarded from
trends , cycles and exceptions.
Tactics
• Filtering vacations and partial working days from the calendar.
• Identify exceptions from the daily consumption chart.
• Omitting material consumption exceptions .
• Calculating Standard Moving Average for month interval.
• Identify consumption trends using Excel trend line function.
• Normalizing the SMA chart according to the trend line.
• Building the SMA histogram.
1800
1600
1400
1200
1000
800
600
400
y = 0.9195x - 37232
R² = 0.1463
200
0
Histogram of daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7201940
99% 100% 100%
25% 100%
23%
97%
90%
84%
20% 80%
18%
68% 70%
16%
50%
10% 40%
44%
9%
30%
17% 26%
5% 20%
3%
14% 10%
2%
1%
0%
0% 0%
0-0 0-200 200-400 400-600 600-800 800-1000 1000-1200 1200-1400 1400-1600 1600-1800
SMA of daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7201940
1200
1000
y = 0.8766x - 35447
R² = 0.333
800
600
400
200
0
Histogram of SMA daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7201940
100%
30% 100%
96%
90%
25% 24%
80%
76%
60%
64%
15% 50%
44%
12%
11% 40%
10%
30%
20%
5% 20%
5% 4%
3% 8%
10%
3%
0% 0%
0-2000 2000-4000 4000-6000 6000-8000 8000-10000 10000-12000 12000-14000 14000-16000
Trend normalized SMA of daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7201940
1400
1200
1000
800
600
400
200
0
Histogram of trend normalized SMA
daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7201940
99%
30% 100% 100%
Avg = 856
90%
StDev = 181 90%
25%
25% Tol = 1218 80%
78% 70%
20%
60%
16% 17%
15% 50%
53%
12% 12%
40%
10%
10%
24% 37%
30%
7%
20%
5%
8%
10%
2%
2% 1%
0% 0%
0-500 500-600 600-700 700-800 800-900 900-1000 1000-1100 1100-1200 1200-1300
Daily material consumption
BROWN PACKING BOX (MH10x50) # 7250014
600
500
478
400
300
200
100
0
Histogram of daily material consumption
BROWN PACKING BOX (MH10x50) # 7250014
100% 100%
40% 100%
38%
99%
98%
94% 90%
35%
80%
30%
30%
81% 70%
25%
60%
51%
20% 50%
40%
15%
13%
30%
10%
10%
20%
13%
5% 4%
3% 10%
1%
3% 0% 0%
0% 0%
0-0 0-50 50-100 100-150 150-200 200-250 250-300 300-350 350-500
SMA of daily material consumption
BROWN PACKING BOX (MH10x50) # 7250014
160
140
120
100
y = -0.0054x + 333.42
R² = 0.0021
80
60
40
20
0
Histogram of SMA daily material consumption
BROWN PACKING BOX (MH10x50) # 7250014
30% 100% 100%
21% 80%
70%
20%
60%
16% 16%
15% 54% 50%
14%
40%
10%
30%
33%
20%
5% 4%
17%
3%
10%
1% 4%
0% 1% 0%
0-800 800-1000 1000-1200 1200-1400 1400-1600 1600-1800 1800-2000 2000-2200
Daily material consumption
BROWN SHIPPING/PACKING BOX # 7250018
90
80
70
60
50
40
30
20
10
y = -0.0007x + 53.407
R² = 6E-05
0
Histogram of daily material consumption
BROWN SHIPPING/PACKING BOX # 7250018
60% 100%
99% 100%
97%
90%
50% 91%
50%
80%
70%
40%
60%
66%
30% 50%
24%
40%
20%
30%
14%
20%
10%
16% 6%
10%
3% 3%
3% 1%
0% 0%
0-0 0-15 15-30 30-45 45-60 60-75 75-90
SMA of daily material consumption
BROWN SHIPPING/PACKING BOX # 7250018
40
35
30
25
y = -0.0035x + 172.32
R² = 0.0224
20
15
10
0
Histogram of SMA daily material consumption
BROWN SHIPPING/PACKING BOX # 7250018
100%
35% 100%
Avg = 27 88%
97%
90%
30%
StDev = 3 29%
Tol = 33 28%
80%
25%
70%
23%
65% 60%
20%
50%
15%
40%
37%
9% 30%
10%
20%
5% 4%
2% 3% 10%
1% 3% 8%
0% 1% 0%
0-200 200-250 250-300 300-350 350-400 400-450 450-500 500-550
Daily material consumption
INTERNAL PACKING BROWN CARTON For 8 x LC-100-6PK # 7250708
450
400
350
300
y = 0.1902x - 7721.1
R² = 0.1008
250
200
150
100
50
0
Histogram of daily material consumption
INTERNAL PACKING BROWN CARTON For 8 x LC-100-6PK # 7250708
100%
35% 100% 100%
99%
31% 95% 97%
90%
30%
80%
81%
25%
67% 70%
21%
60%
20%
50%
46%
30%
10%
20%
5%
3% 10%
2% 2%
0% 0%
0% 0%
0-0 0-50 50-100 100-150 150-200 200-250 250-300 300-350 350-400 400-450
SMA of daily material consumption
INTERNAL PACKING BROWN CARTON For 8 x LC-100-6PK # 7250708
250
200
150
y = 0.1823x - 7394
R² = 0.2819
100
50
0
Histogram of SMA daily consumption
INTERNAL PACKING BROWN CARTON For 8 x LC-100-6PK # 7250708
100%
30% 100%
96%
27%
90%
83%
25%
80%
22%
75% 70%
20%
60%
15% 50%
13%
12% 49%
40%
10%
10%
8% 30%
26%
20%
5% 4% 4%
14% 10%
4%
0% 0%
0-0 0-500 500-1000 1000-1500 1500-2000 2000-2500 2500-3000 3000-3500
Trend normalized SMA of daily material consumption
INTERNAL PACKING BROWN CARTON For 8 x LC-100-6PK # 7250708
300
250
200
150
100
50
0
Histogram of trend normalized SMA
daily material consumption
INTERNAL PACKING BROWN CARTON For 8 x LC-100-6PK # 7250708
18% 100% 100%
50%
51%
8%
7%
40%
6%
35% 5% 30%
4% 4%
20%
22%
2% 2% 10%
4%
11%
0% 0%
0-80 80-100 100-120 120-140 140-160 160-180 180-200 200-220 220-240 240-260
Daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7250740
35
30
25
20
15
10
y = 0.0008x - 29.561
R² = 0.0005
5
0
Histogram of daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7250740
100%
100% 100% 100%
99%
90% 88%
98%
96%
80%
96%
70%
94%
94%
94%
60%
92%
91%
50%
90%
40%
88% 88%
30%
86%
20%
10% 84%
3% 3% 2% 2%
0% 1% 0%
0% 82%
0-0 0-5 5-10 10-15 15-20 20-25 25-30 30-35
SMA of daily material consumption
PACKING BOX FOR SECURITAS KEYPAD # 7250740
5
y = 0.0002x - 4.8832
R² = 0.0002
1
0
Histogram of SMA daily consumption
PACKING BOX FOR SECURITAS KEYPAD # 7250740
70% 100% 100%
95%
88% 90%
87%
60% 57%
80%
Avg = 1 80%
72% StDev = 2
50%
64%
68%
Tol = 5 70%
61%
60%
40%
57%
50%
30%
40%
30%
20%
20%
10% 9%
6% 6% 5% 10%
4% 4% 4% 4%
2%
0% 0%
0-0 0-10 10-20 20-30 30-40 40-50 50-60 60-70 70-80 80-90
Daily material consumption
INTERNAL PACKING CARTON 182W # 7260710
120
100
y = 0.015x - 600.34
R² = 0.0137
80
60
40
20
0
Histogram of daily material consumption
INTERNAL PACKING CARTON 182W # 7260710
30% 100%
99% 100%
28% 91% 99%
96%
90%
84%
25% 24%
80%
79%
20% 70%
20%
72%
60%
15% 50%
52%
40%
10%
30%
7% 7%
28%
5% 20%
5% 5%
3%
10%
1% 1%
0% 0%
0-0 0-10 10-20 20-30 30-40 40-50 50-60 60-70 70-80 80-100
SMA of daily material consumption
INTERNAL PACKING CARTON 182W # 7260710
45
40
35
30
25
20
15
10
y = 0.0153x - 613.8
R² = 0.0732
5
0
Histogram of SMA daily material consumption
INTERNAL PACKING CARTON 182W # 7260710
100% 100%
35% 100%
94%
32%
90%
30%
80%
81%
25%
23% 70%
67%
60%
20%
55% 50%
15%
14%
13% 40%
12%
30%
10%
23% 6% 20%
5%
10%
0%
0% 0%
0-100 100-200 200-300 300-400 400-500 500-600 600-700
Trend normalized SMA of daily material consumption
INTERNAL PACKING CARTON 182W # 7260710
50
45
40
35
30
25
20
15
10
0
Trend normalized SMA of daily material distribution
INTERNAL PACKING CARTON 182W # 7260710
30% 100% 100%
95% 98%
Avg = 20 89%
90%
StDev = 8 25%
25%
Tol = 36 80%
23%
73%
70%
20%
60%
15%
15% 14% 50%
50%
40%
10%
10%
36%
30%
6%
20%
5%
4%
10%
2%
11%
1%
0% 0%
0-5
1% 5-10 10-15 15-20 20-25 25-30 30-35 35-40 40-45
Daily material consumption
Shipping carton brown BOX for 16 x LC-100-6PK # 7260716
120
100
y = 0.015x - 600.34
R² = 0.0137
80
60
40
20
0
Histogram of daily material consumption
Shipping carton brown BOX for 16 x LC-100-6PK # 7260716
35% 100%
99% 100% 100%
97%
31%
95% 90%
30%
80%
81%
25%
66% 70%
21%
60%
20%
50%
45%
15%
15% 14%
40%
34%
11%
30%
10% 31%
20%
5%
3% 10%
2% 2%
0% 0%
0% 0%
0-0 0-25 25-50 50-75 75-100 100-125 125-150 150-175 175-200 200-225
SMA of daily material consumption
Shipping carton brown BOX for 16 x LC-100-6PK # 7260716
45
40
35
30
25
20
15
10
y = 0.0153x - 613.8
R² = 0.0732
5
0
Histogram of SMA daily material consumption
Shipping carton brown BOX for 16 x LC-100-6PK # 7260716
99% 100%
25% 100%
22%
87% 90%
82%
20% 80%
17% 70%
74%
15% 60%
14%
12%
50%
51%
10%
10% 40%
9%
7% 38%
30%
5%
5% 20%
4% 21%
10%
4% 11%
1%
0% 0%
0-0 0-200 200-400 400-600 600-800 800-1000 1000-1200 1200-1400 1400-1600 1600-1800
Trend normalized SMA of daily material consumption
Shipping carton brown BOX for 16 x LC-100-6PK # 7260716
140
120
100
80
60
40
20
0
Daily material distribution
trend normalized 22 work days interval SMA
Shipping carton brown BOX for 16 x LC-100-6PK # 7260716
100%
18% 98% 100%
93%
Avg = 79 16%
16%
16% StDev = 21 90%
50%
50%
8%
7% 40%
6%
34% 30%
5%
4% 4%
20%
21%
2%
2% 10%
4% 11%
0% 0%
0-40 40-50 50-60 60-70 70-80 80-90 90-100 100-110 110-120 120-130
Trend normalized SMA of daily boxes consumption
7260716 7250708 7250018 7250014 7201940
1000
270
500
220 0
-500
170
-1000
120 -1500
-2000
70
-2500
20 -3000
Statistical analysis Summary
7201940 PACKING BOX FOR SECURITAS KEYPAD 631 222 856 181 1218
7250708 INTERNAL PACKING BROWN CARTON For 8 x LC-100-6PK 110 50 157 42 242