Available from version 1.7.0
ABC classifies stock at Item level based on the number of requisition lines during a given period and ranks them on one of three following criteria:
Cost - Cost of the requisition lines
Volume - Allocated Qty
Transactions -Number of lines
The reason for Volume and Transactions is to distinguish the stock items that are issued in large quantities ie smoke detectors. These have a high Volume but can have a low Transaction rate. Therefore, if an item is in the top 50% of items based on Cost it will be classified as an A. If the same item has a low Volume it would classified as a C on the Volume rate.
There are three parameters that can be set:
"ST", "ABC Period" - number of months of requisition lines to look at - defaults to 12
"ST", "ABC A Percent" - determines the top A level - defaults to 0.2 (20%)
"ST", "ABC C Percent" - determines the bottom C level - defaults to 0.2 (20%)
To change the defaults contact Datatecnix Support. Level B defaults to 0.6 (60%).
To generate new ABC Classifications go to Administration > Stock > ABC Classification and click Calculate ABC.
Please note if a stock item has not been issued or returned in the period it will not be classified.