Re: Number of times out of stock

The number of "out-of-stocks" is a strange metric.  If you can figure
out WHAT meaning the "out-of-stocks" has for them, you can likely find
more standard measures that will have the same meaning.  Typical metrics
might include late supplier deliveries, demand in excess of forecast,
excessive scrap, and actual production rate below standard rate, or
production not matching the schedule.

The best long term solution is to get them educated in how to plan
using the BPCS tools/measures.  I would expect that lots of business
processes adjusted to work well with BPCS, there is no real reason why
planning shouldn't as well.  And frankly, an "out-of-stock" indicates a
planning error.  If they get a lot of them, the existing process isn't
working all that well.  Getting some of them APICS trained may also be
useful.

No magic bullet, sorry!

>>> Zzbpcs@aol.com 10/25/02 07:19AM >>>
In a message dated 10/25/2002 8:44:53 AM Eastern Standard Time,
HunterT@mohawkpaper.com writes:

> We have been on BPCS 6.0.04 since 1/1/01 and our Production Planners
still
> have some screens from a homegrown legacy system.  To create
inventory
> balances they review sales history and they look at the number of
times we
> were out of stock.  I am looking to move them out of the legacy
system and I
> need help with the number of times we were out of stock.
> Has anyone ever
> tried to get this type of information from BPCS before?
----------
  I think you need to move them out of the legacy system
  AND
  out of the legacy mind-set.
  The number of times an item went out of stock
  IN THE PAST
  is a poor indicator of how many should we have on hand.
  It may be a "report card" of how bad we did
  both in predicting demand &/or in meeting expected demand.
  But the key to planning is planning AHEAD.......

  but maybe I'm missing something........


Peace,
Jim Barry
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