Fastbase

The Suggested Order Generation function processes each part individually, first performing some calculations to obtain the following figures;

Stock Turnover - fast, medium, slow or dead.
Stock Location - hold stock at head office, individual branches or not at all.
Median Quantity - median sales quantity per invoice for the years sales.
Number of Invoices - number of sales dockets (excluding exceptional sales, re: exclusion factor).
Quantity Sold - number of units sold (excluding exceptional sales, re: exclusion factor).
Calculated Minimum Qty - median sales quantity * branch minimum months stock.
Calculated Maximum Qty - median sales quantity * branch maximum months stock.

Stock Turnover is determined by the number of units sold over the period (12 months) excluding exceptional sales. Each product type has sales quantity levels to define Fast, Medium & Slow moving stock.

Stock Location is determined by how many branches are selling the stock, if only 1 or 2 branches are selling stock then it is held at those branches, if more than 2 branches are selling stock but the quantity is in the Slow category then stock is held at head office, otherwise stock is held at each branch making sales.

The Median Quantity is the median sales quantity over the 12 month period, median being the middle sales value when the sales are sorted in quantity order.

The Number of Invoices represents the total number of sales for the period which were included in the calculations, ie: all exceptional sales are excluded. The Quantity Sold is the total quantity sold on these invoices.

Exceptional sales are deemed those that are X times the median quantity. An exclusion factor can be defined for each product type (with a default value of 5). All sales 5 times the median quantity will be excluded as they are considered exceptional sales (or one-off sales).

The Calculated Minimum/Maximum Qty figures are the median sales quantity * the branch minimum/maximum months stock levels.

Purchase Order Generation