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Pareto Product Report

Application > Warehouse Management > Analysis Tools > Pareto Product Report

Overview

The Pareto Product Report distributes products into three classes (A, B or C) according to the cost value that each product inventory has in the warehouse. Based on this classification the frequency of counting cycle can be decided (e.g. A products are counted weekly, B products monthly and C products yearly).

Following distribution is used: A products represent 80% value of the warehouse, B - 15% and C - 5%.

Info

The classification is based on the cost of the product. That is why it is needed to have a Costing Rule validated and the Material Transaction costs of the product calculated up to date.

Parameters Window

The Currency field defines the currency in which all monetary values (like Cost, Value) of the report are shown. The field is defaulted to the system currency.

Warning

Please note that Conversion Rate to the report Currency should be specified for the report to work.

The Update ABC button fills in the ABC field (updates the value if the record exists or creates a new record otherwise) of the Org. Specific tab of the Product window for the organizations of the report output.

Sample Report Output

Pareto Product Report

Columns to note:

  • Quantity: is the current stock of the product (Quantity on Hand) in the warehouse selected.
  • Value: is the sum of all the material transaction costs of the product.
  • Cost: this cost is calculated as the ratio between the product value and the product quantity above.
  • Percentage: this percentage is the ratio between the product value and the Total Value of the warehouse (which is the sum of all report lines).

Persisted Information

Aggregated information calculated for the Valued Stock can be used. Please refer to the Valued Stock Report documentation for more details about how to generate the aggregated information.

Note

Exactly as for the Valued Stock Report, the Pareto Product Report can also be launched without aggregated data. However, this feature is specially useful in high volume environments when you experience performance issues launching the report.

This work is a derivative of Warehouse Management by Openbravo Wiki, used under CC BY-SA 2.5 ES. This work is licensed under CC BY-SA 2.5 by Etendo.