Report: Stock structure

Executive summary

The Inventory structure report is used for quick segmentation of selected portfolio of items in order to identify slow turnover items (SMI - Slow Moving Inventory). Such items represent inefficient stock in which tied up capital is unnecessarily located. The analysis can be performed for any adjustable period.

Functional description

The analysis result is shown in columns:

  • Segment (Real): shows amount of months from the selected period, when this item was demanded.
  • Segment (Potential): takes into account when this item was put among “New products”. Example: if the item is available for only 3 months and it was sold only once, it will belong into the segment 4/12 based on the approximation of the future segment. The value 0 (zero) identifies an absolute dead stock.

The segmentation is shown in 3 pie charts:

  • Stock structure in the past 12 months based on demand, that is related to the value of the potential segment and amount of items belonging into this segment.
  • Stock structure according to the segment in stock amount.
  • Stock structure according to the segment in stock value, i.e. in the value of bound capital.

An example of the chart:

image0 Explanation: “0 months” shows the items that were not sold in any month in the past 12 months; “12 months” shows the items that were sold in every month in the past 12 months (12 months out of 12). The colours reflect goods segmentation - the green parts of the graph are sold most frequently and should be most available in stock.

All items that enter segmentation are shown in the table under the graphs. The most important columns in the table are:

  • Product,
  • Warehouse
  • ABC category,
  • Segment (real and potential)
  • date of last items inflow and sale.