ABC Analysis Method Research Articles

Inventory Control of Drugs Listed in Private Health Insurance at Pharmacies in South Tangerang using ABC Analysis

Inventory control in pharmacies must be appropriately and effectively maintained to promote continuous drug affordability and availability in the community within the healthcare delivery system. Initially, effective drug planning and procurement are essential to attain proper drug selection, quantification, and procurement based on the consumption pattern with good economic impact and clinical value. Therefore, the ABC analysis method is suggested to be implemented to optimize efficient budget and effective drug planning. This study aimed to investigate the planning and procurement process of drug listed in private health insurance using the ABC analysis method in the pharmacies X and Y. This study was non-experimental study with descriptive analysis utilizing qualitative and quantitative data. Drug enlisted in the private insurance data in 2019 were taken retrospectively. Based on the ABC analysis results, in pharmacy store X, drug listed in group A showed 83 items with the highest investment value of 86.38%, group B showed 102 items with 15.61%, and group C showed 129 items with the lowest investment value of 4.79%. Meanwhile, in pharmacy Y, drug listed in group A showed 87 items with the highest investment value of 89.62%, group B showed 100 items with 7.62%, and group C showed 134 items with the lowest investment value of 2.76%. Using the ABC analysis to manage the drug inventory system could assist pharmacy store X and Y in planning the procurement of drug listed in the private healthcare insurance effectively. Also, taking into account the values of consumption and investment are obtained efficiently.

ОСОБЛИВОСТІ ТА СФЕРА ЗАСТОСУВАННЯ АВС-АНАЛІЗУ В СИСТЕМІ КОНТРОЛІНГУ ПІДПРИЄМСТВ РЕСТОРАННОГО ГОСПОДАРСТВА

Розглядаються питання адаптації ABC-аналізу з урахуванням галузевої специфіки ресторанного господарства. Особливість ресторанного господарства полягає у тому, що підприємства цього сектору поєднують функції виробництва, реалізації купівельних товарів і продукції власного виробництва та організації споживанні їжі, при цьому вказані процеси суттєво відрізняються за економічним змістом. Дослідження практики, а також інструктивних матеріалів та рекомендацій з ведення обліку фінансових результатів у ресторанному господарстві показало, що в цій сфері використовується така сама методика, як і в торгівлі. До собівартості реалізації продукції власного виробництва включається тільки первісна вартість продовольчої сировини. Ураховуючи це, критеріальними показниками запропоновано при проведенні АВС-класифікації використовувати частоту продажу, торговельну націнку та продуктові витрати. Визначено переваги і недоліки різних способів відділення груп А, В і С. На основі емпіричних досліджень ресторанів м. Львова з використанням способу дотичних визначено відсоткове співвідношення груп А, В і С за критерієм частоти продажу. Запропоновано при застосуванні емпіричного способу використовувати визначені відсоткові співвідношення груп А, В і С, значення яких відрізняються від аналогічних для підприємств промисловості і торгівлі, ураховуючи відносно невелику кількість асортиментних позицій продукції власного виробництва і купівельних товарів підприємств ресторанного господарства. Обґрунтовано доцільність використання результатів АВС-аналізу продажів для аналізу сировинної матриці з метою більш точного виділення груп А, В і С продовольчих запасів за критерієм їхнього внеску у формування фінансового результату. Визначено варіанти дій управлінського персоналу за результатами АВС-аналізу з урахуванням специфіки ресторанного господарства. Практична реалізація запропонованих підходів до АВС-аналізу дозволить сформувати належну інформаційно-аналітичну базу для формування високоефективних цільових управлінських дій, спрямованих на збільшення прибутку підприємств ресторанного господарства.

Effectiveness Optimization of an Automatic Medicine Dispenser Based on the Entry-Item-Quantity ABC Analysis Method and Track Utilization Rate Algorithm

Modern hospital pharmacies are undergoing broad-scale shifts toward informatization and automation. With the widespread use of automated medicine dispensing systems in major Chinese hospitals, their application value has been increasingly confirmed. However, relative to other countries, automation of China’s pharmacies was relatively delayed, and the use of imported automated equipment in domestic hospital pharmacies dealing with an enormous prescription burden poses substantial challenges in maintaining high automation efficiency when the hospital patient flow is at its peak. Objective to optimize the medicine storage system of automatic medicine dispensers and to improve the automation efficiency of pharmacies using the entry-item-quantity (EIQ)-ABC analysis method and a track utilization rate algorithm. Methods A total of 76,069 prescriptions from the CONSIS automated medicine dispensing system of medicine dispensing system of our hospital’s outpatient pharmacy were selected in June 2020, and the EIQ-ABC analysis method was used to perform associative classification of the dispensing volume and frequency of each medicine. The varieties of medicines in the automatic dispenser were adjusted according to the classification results, and then, the storage space of medicines was optimized using a track utilization rate algorithm. The performance of this method was evaluated by comparing the automatic rate of the dispensing volume, and the real-time window dispensing rate and prescription ratio before and after optimization. Results After the implementation of the EIQ-ABC analysis method and track utilization rate algorithm, the average automation rate of dispensing volume, real-time window average dispensing rate, and real-time window average prescription ratio increased by 2.46%, 4.4%, and 4.87%, respectively, which were significantly higher than those before implementation (P < 0.05). Conclusion Using the EIQ-ABC analysis method and the track utilization algorithm to optimize the varieties and storage space of medicines in an automatic medicine dispenser can fully utilize storage space, reduce instances of lack of medicine in the dispenser, and improve the fully automatic dispensing rate.

Analisa Pengendalian Persediaan Suku Cadang Pada PT. XYZ Dengan Metode Analisis ABC

Inventory can be interpreted as a stock of goods to be sold or used at a certain time,without the inventory the company will run the risk and can not meet costomer demand. This research was conducted to analyze spare part inventory using ABC analysis method and EOQ method at PT. Adiprima Suraprinta, Gresik.The results of this study are there there are 4 spare parts inventory items in group A with a cumulative percentage of 8,59% by absorbing a budget of 56,78%, there are 5 spare parts inventory items in group B with a cumulative percentage of 18,47% by absorbing a budget of 24,15%, there are 17 spare parts inventory items in group C with a cumulative percentage of 72,92% by absorbing a budget of 10%.

Sustainable industrial systems through strategic laboratory equipment industry

This paper conveys the theoretical perspectives of sustainable industrial systems through Strategic Laboratory Equipment Industry, within scope of PT. Promedika Sejahtera (PPS). PT Promedika Sejahtera is a company engaged in the laboratory equipment industry, that need its strategic touch on its Strategic Laboratory Equipment. Products sold by the company are Oxygen, Medical Equipment, Ultraviolet System, Activated Carbon Filter, Pempers, and Underpad. Products that exist in the company are not in their own production in the production from abroad. PT Promedika Sejahtera merely sell the laboratory equipment. Yet, the company has various types of consumers namely hospitals, hospital cooperatives, pharmacies, factories, and water equipment RO shops. In this paper, strategic laboratory equipment industry refers specifically to inventory within the supply chain management perspectives. This paper constitutes collaboration with other papers on Economic Order Quantity (EOQ), Re-Order Point (ROP), and Safety Stock (SS), that convolutes Forecasting, ABC Analysis, and Partial Least Square (PLS). Yet, this paper refers to its focus merely on Forecasting, Demand Pattern, Exponential Smoothing and EOQ. As part of conclusion, this paper conveys several highlighted remarks. Those remarks refer to ABC Analysis. The grouping of goods using ABC Analysis Method is divided into three groups: A with 80% priority, group B with 20% priority and group C with 10% priority. The number of goods in group A is 12 items, group B 18 item type and group C are 30 items of goods. Forecasting demand required by the Company for 2018 based on priority group A can be done using the Double Exponential Smoothing (Holt’s) Method because the pattern pattern possessed from the previous year’s sales data has no seasonal but has a random trend. The results of these calculations can be seen from the table of existing research results. Ultimately, Future research is deemed indispensable within novelty purpose for the industrial system sustainability within Strategic Laboratory Equipment Industry.

Inventory control using ABC and min-max analysis on retail management information system

Determination of reorder point aims to meet the safety stock. This is a central parameter of inventory control. This study aims to find reorder point based on goods classification and safe stock. This approach is implemented in retail information systems that have been running. The information system has about 15.000 active items with the number of sales transactions around 1.100 per day. The problem in determining the reorder point is the unavailability of the safe stock reference. Lack of safe stock information triggered the ordering goods error. This error causes over stock. It can increase the potential of expired goods. In this study the researcher classifies the goods and determines the amount of safe stock to control the inventory. We used ABC analysis method for goods classification. It divides the group of goods into A, B, C, and D. The amount of safe stock is determined based on the goods sale’s history using Min Max Analysis method. Classification result is used to determine the limits on the inventory of allowed items to be ordered. Limitation safety stock amount refers to the limits from the min max method result. While, testing is done by comparing cost before and after implementation of this method.

Inventory Management and Reorder Point (ROP) Strategy Using ABC Analysis Methods in Textile Manufacture

Tight competition encourages textile companies to increase their competitiveness to efficient in all fields, especially by reducing material stock to its optimum figures without disrupting production operations. Currently this textile manufacture has implemented SAP as an Enterprise Resource Planning (ERP) software. SAP is currently used as Material Resources Planning (MRP), purchasing and inventory control software. Purchases are made automatically using Reorder Point (ROP) and inventory control using the ABC analysis method. In time being there is no relationship between the ABC analysis method to inventory control and ROP. With this condition, the purchase order for material is raised when the stock level is lower than ROP even these unnecessary, causing the stock to become slow moving and dormant when it reaches six months laying on the warehouse and causing excess inventory. This study aims to design and implement how the ABC method can be used to determine purchasing decisions and which ROP calculations should be used. The ABC multi criteria analysis in this study shows that ABC categorization is acceptable for deciding ROP determination. This method of inventory management has the potential to reduce inventory levels up to 17% and eliminate dormant and slow moving

Inventory Management and Reorder Point (ROP) Strategy Using ABC Analysis Methods in Textile Manufacture

Tight competition encourages textile companies to increase their competitiveness to efficient in all fields, especially by reducing material stock to its optimum figures without disrupting production operations. Currently this textile manufacture has implemented SAP as an enterprise resource planning (ERP) software. SAP is currently used as material resources planning (MRP), purchasing and inventory control software. Purchases are made automatically using reorder point (ROP) and inventory control using the ABC analysis method. In time being there is no relationship between the ABC analysis method to inventory control and ROP. With this condition, the purchase order for material is raised when the stock level is lower than ROP even these unnecessary, causing the stock to become slow moving and dormant when it reaches six months laying on the warehouse and causing excess inventory. This study aims to design and implement how the ABC method can be used to determine purchasing decisions and which ROP calculations should be used. The ABC multi criteria analysis in this study shows that ABC categorization is acceptable for deciding ROP determination. This method of inventory management has the potential to reduce inventory levels up to 17% and eliminate dormant and slow moving

Problems and prospects of food security in the regions of the Russian Federation

The authors highlighted and substantiated the role and importance of import substitution of food for the Russian Federation in the context of the country’s food security. The study identified and classified the types of food threats to the Russian Federation which are arising from the high import intensity of the food market. The situation of territorial differentiation in the field of food supply is revealed and substantiated. The paper presents the author’s methodology, which are allowing to evaluate the contribution of each region to the import-substituting food potential of the country. The researchers used the ABC-analysis method as a result of the calculation of the import substitution’s composite index by federal districts of the Russian Federation for 2010–2012, which also revealed the positioning of individual regions in the field of import substitution and food security. The findings of regional differentiation gave a comparable result, which indicates the relevance of the study. Another significant result of the presented work was the conclusion that the climatic factor of the territory’s comfort does not guarantee that the federal districts fall into the leading group on import substitution. According to the authors of the studying, the leading factor which are ensuring the food security of the country as a whole and its individual regions is the level of socio-economic development.

Inventory Control of Product Supply of Agricultural Product for Online Sales (Case Study in PT Insan Agritama Teknologi)

The industrial revolution 4.0 has encouraged a digital technology companies called startup. PT Insan Agritama Teknologi (Inagri) is one of startup in Bandung City that is engaged in agriculture as a supplier of food ingredients. Inventory of goods in Inagri is currently fulfilled from five partner farmers. At present, Inagri has collaborated with several Horeca (hotel, restaurant, café) and modern retailers to distribute agricultural products. However, for approximately 2.5 years, Inagri has not yet found a standard procedure for inventory control. Sometimes Inagri could not fulfill the demand because there was an out of stock of goods. Therefore required to control supplies. The purpose of this study was to identify the process of controlling inventory in Inagri and analyzed the classification of inventory in Inagri based on ABC analysis. This study used the ABC analysis method. The results showed that the classification of goods inventory in Inagri based on ABC analysis, group A amounted 16 commodities, this amount represented 21% of total items (76 commodities). Group B amounted 17 commodities or 22% of total commodity and group C had 43 items or 57% of total commodities sold by Inagri. ABC analysis is one of the solutions for making goods stock procurement decisions in future period.

Strategic development of cargo transit services: a case study analysis

Abstract Purpose. Recently, foreign economic activity in Ukraine has gradually shifted towards the European Union (EU). The EU’s special interest in the potential of Ukraine’s transit transport lies in the geographical position of the country, which is located on the main routes of international freight traffic. The article aims to study the status and development opportunities in the field of transit freight transport of the Ukrainian railway joint-stock company (JSC Ukrzaliznytsya) within the framework of European integration. Methodology. The article presents the analysis of the activity of the JSC Ukrzaliznytsya in the field of transit freight transport for the period of 2005-2017 and outlines the strategic prospects for its development as a significant transit route considering the conditions of European integration. The methodology included theoretical and practical research using statistical methods; methods of comparative analysis; ABC analysis method; and taxonomic method. Results. The JSC Ukrzaliznytsya was analysed to determine the status of its activity in the field of transit freight transportation for 2005-2017. A structural-dynamic analysis was made to estimate cargo volumes transported by railway enterprises and related revenues. 18 types of cargo were identified using the ABC analysis method based on two indicators, namely, “volumes of transportation” and “revenues from cargo transit”. Also, taxonomic indicators of the level of system development were considered and revenues from cargo transit for the analysed period were estimated. Finally, recommendations were proposed regarding the development of a joint-stock company as a strategic cargo transporter under the conditions of European integration with Ukraine. Practical implications (if applicable). The results of the conducted research and performed calculations confirmed the need to refocus the management activity of the JSC Ukrzaliznytsya in the field of cargo transit towards strategically important cargoes, which have the largest share in the structure of financial results. This will enable the company to achieve its leading role as a strategic transit carrier of the European Union in the near future.

УДОСКОНАЛЕННЯ РОБОТИ СЕРВІСНИХ ЦЕНТРІВ НА ЗАЛІЗНИЧНИХ ВОКЗАЛАХ ПРИ ОБСЛУГОВУВАННІ ПАСАЖИРОПОТОКУ

In the near future, the Ministry of Economic Development forecasts a moderate increase in the provision of transportation services, given the increase in passenger traffic and correspondingly the volume of services that are provided to passengers. The reform and development of rail transport in the provision of services will increase the passenger traffic of the railway by 5%. The study is based on the study of the features and specific features of the operation of the station service centers, the development of new technologies for passenger service. The demand and the list of services provided by service centers have been determined. The most significant services were identified according to the classification criteria, namely the income from the provision of services and the need for the number of calls. A model has been developed that takes into account new additional services in the organization of passenger transportation, which, according to the results of the research, are in demand among customers. In this paper, ABC and XYZ analysis methods are used to study and rank a variety of services. During the modeling, the passenger traffic was used at the statistical level, considering how many passengers are interested in this or that service. Analysis of services provided by rail transport, identified shortcomings in passenger service technology. Considering the prospects of integration of the Ukrainian railways into the European transport network, the current task will be to eliminate the shortcomings in the provision of services to railway users. Ranking of the list of services by criteria of classification the importance and profitableness allows to exclude refusals in service system.

SELECTION INFORMATIVE GEOMETRIC FEATURES FOR SEPARATION OF EGGS IN CLASSES

The report presents results of selection of informative geometric features of eggs in order to sort them according to the requirements in the normative documents adopted in Bulgaria. The ABC Analysis and Correspondence Analysis methods were used. The results obtained show that for the sorting of eggs in qualitative groups, features based on perimeter, area, large axis, volume, obtained by egg models may be used. Selected informative features confirm and complement those in accessible literature.

Analisis Pengendalian Persediaan Spare Part Mesin Produksi di PT. Prima Sejati Sejahtera dengan Metode Continuous Review

&lt;em&gt;PT. Prima Sejati Sejahtera as one of the subsidiaries of PT. Pan Brothers Tbk. which is engaged in garment production. The company's mechanical department in managing spare part inventory is still using intuitive method, where the number of spare part order for certain periods based on spare part demands data onto the previous period. The company’s mechanical department often stock out of spare parts. Spare part’s inventory management becomes a complex issue because of the need for fast response to handle the downtime of machines, and the risk of obsolescence of spare parts. So in this research will discuss about spare part inventory control which is started with spare parts grouping by using ABC analysis method to determine the appropriate inventory control method for each group. There are 23 spare parts which included in group A. The forecast of spare part’s demands to use Croston, Syntetos-Boylan Approximation (SBA) and Single Exponential Smoothing (SES). Comparison of each forecasting method will be determined by the value of forecasting errors (MAD). It is known that there are 12 spare parts with Croston method in the best forecasting method, 6 spare parts in Syntetos-Boylan Approximation (SBA) method and 5 spare parts with Single Exponential Smoothing (SES) method. Based on the best forecasting result, it will be calculated the value of safety stock (SS), reorder point (ROP) and the optimal number of ordering (Q) using Continuous Review method for each spare part.&lt;/em&gt;

Promotion bureau warehouse system design. Case study in University of AA

The warehouse becomes one of the important parts in an industry. By having a good warehousing system, an industry can improve the effectiveness of its performance, so that profits for the company can continue to increase. Meanwhile, if it has a poorly organized warehouse system, it is feared there will be a decrease in the level of effectiveness of the industry itself. In this research, the object was warehousing system in promotion bureau of University AA. To improve the effectiveness of warehousing system, warehouse layout design is done by specifying categories of goods based on the flow of goods in and out of warehouse with ABC analysis method. In addition, the design of information systems to assist in controlling the system to support all the demand for every burreau and department in the university.

Efektifitas Metode ABC (Activity Based Costing) Dalam Analisis Perencanaan Obat JKN di Puskesmas Dagangan Kabupaten Madiun

Drug expenditure absorbs most of the health care budget. PHC was responsible for ensuring the used of available resources optimally aimed at achieving efficiency in cost control. Based on LPLPO at Dagangan health care 2015 showed an average supply of drugs JKN in primar health care Dagangan has excess stock that is as much as 93.18% (41) types of drugs than 100% (44) types of drugs. The purpose of this research was to determine the application of the ABC method in planning analysis of drugs in Dagangan health care Dagangan Madiun city. The design of this research was descriptive categorical, with a retrospective approach. Primary data obtained from interview with Head of Health Centre and Head of Installation Pharmacy in Primary Health Care Dagangan while the secondary data obtained from LPLPO. The results showed that Dagangan health care use consumption method to planning the drug. By using the ABC analysis showed a group of JKN drugs that include into group A as many as 8 types of drugs (18,2%). Group B as many as 30 types of drugs (68,2%). And group C as much as 6 types of drugs (13,6%). Based on these results, Dagangan health care need to apply ABC analysis method to determine the priority drugs that need to be held, and there should be education and training for pharmacy personnel to increase knowledge about effective methods of drug design and efficient use of the budget.

Effects of inventory classifications on CONWIP system: a case study

This paper studies the effects of integrating four inventory classification methods into constant work-in-process (CONWIP) systems in a multistage batch production. The inventory classification methods are multiple closed-loop CONWIP (MCC), parallel CONWIP (PC), analytical hierarchy procedure, and weighted linear optimization (WLO). Discrete-event simulation models were built. A full-factorial experimental design was employed. Response surface methodology generated suitable regression models for performance comparison of different ABC analysis methods. In the second stage of experiment, the ABC analysis methods from the first stage were fine-tuned and compared. PC and WLO are the most preferred methods because of higher total outputs, lower work-in-process levels, and shorter flow times compared with the other two methods. However, the revenue accrued through WLO is higher than that accrued via PC. This study complements existing literature on price setting in manufacturing organizations by delineating classification of finished goods based on both exogenous and production factors.

INVENTORY CONTROL USING ABC AND HML ANALYSIS – A CASE STUDY ON A MANUFACTURING INDUSTRY

Inherent uncertainties in demands and supply make it difficult for supply chains to achieve optimum inventory replenishment, resulting in loss of sales or keeping excessive inventories. An unkempt inventory can take up to one-third of an organization’s annual investment. Therefore, in order to compete with invariably erratic demands, it is not only challenging to develop an intelligent system to maintain and control an optimum level of inventory but has also become mandatory. Here we have tried to study the inventory control system of an EMU coach manufacturing industry using ABC and HML analysis method.

对我院2012年药品使用情况的ABC分析

目的：通过对我院2012年药品使用情况的ABC分析，判定临床用药是否合理及为库房保持合理库存提供参考依据。方法：采用ABC分析法，对各个药品出库数量、出库数量占总出库数量、出库金额、出库金额占总金额百分比进行统计分析，得出各个药品所属分类，并重点对A类药品进行分析。结果：我院A类药品有151种，占总数量的13.88%，出库金额占总出库金额的79.94%，B类药品有218种，占总数量的20.04%，出库金额占总出库金额的15.02%，C类药品有719种，占总数量的66.08%，出库金额占总出库金额的5.04%。结论：我院用药基本合理，但抗菌药物的使用尚存不合理之处，有待进一步规范。 Objective: To investigate the basic status of drug application in 2012 by using ABC analysis, and analyze the status and trends of drug treatment, so as to provide reference for rational drug usage and keep the reasonable inventory of drugs. Methods: By using ABC analysis method, the classification of individual drug was derived by analyzing the number and amount of individual drug consumption and its percentage of the total consumption, and A class drug has been analyzed emphatically. Results: In our hospital, the sum of A, B, and C class drug was 151, 218 and 719, with the percentages of the total consumption being 13.88%, 20.04% and 66.08%, respectively. The corresponding consumption expense accounted for 79.94%, 15.02% and 5.04% of the total consumption expense. Conclusion: The drug utilization in our hospital is rational on whole, but the use of antibacterial is somewhat irrational and thus it needs to be standard- ized further.

On reasons of uncontrollable construction cost based on the ABC analysis method and the complete decomposition model

In view of the previous studies on uncontrollable construction cost, which mostly were based on the practical experiences and subjective speculating, the conclusions were empirical and lack of data support. In order to solve this problem, the quantitative analysis methods are introduced here. The application of ABC analysis method can distinguish the minor-key factors from tremendous factors which influence the cost changes. And the complete decomposition of construction cost changes can decompose the main effects of the cost changes to define the key effects. Through applying these two methods, the construction cost can be controlled by mainly controlling the key factors and effects of the projects. Besides, project data of uncontrollable construction cost can be accumulated to provide objective and scientific suggestions on controlling cost. A completed small civil engineering is presented as an example.