WHAT IS ABC ANALYSIS
ABC analysis is a list classification technique. ABC analysis divides a list into three categories - "A items" with very tight controls and accurate records, "B items" with less tightly controlled and good records, and "C items" with the simplest possible and minimum records. . Together.
'A' items - 20% of items account for 70% of the items' annual consumption value
'B' item - 30% of the item accounted for 25% of the annual consumption value
'C' item - 50% of the item has 5% of the annual consumption value of the item
breakdown of ABC classes
- "A" about 10% item or 66.6% value
- "B" about 20% item or 23.3% value
- "C" about 70% items or 10.1% value
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