Abstract
ABC analysis is a well-known approach to classifying inventory items. Traditionally, a single criterion, the annual dollar usage of stock-keeping units (SKUs), is employed in the classification process. However, in many cases, other criteria may also play a significant role in classifying SKUs. Therefore, a recent trend is to develop various procedures to conduct ABC analysis in terms of multiple criteria. This article examines several multiple criteria ABC analysis procedures and a comparative study of their classification results is carried out by using 47 SKUs in a hospital inventory system. Our results indicate that these different approaches produce statistically consistent rankings.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
