i have seen so many videos but i couldn't find the head which comes under purchasing cost and holding cost even today i have learn eoq formula in excel... i must say u r a very good teacher
Thank you very much for such a brilliant video Mr. Eduardo. I think, it would be far better also if you could attach for us the whole excel file prepared by your inventory program manager as well. If not, advise me how to attend your courses. Thanks again!
If you are working for a company, how to find out the hours and value for each of the transaction cost such as reception, follow up, communication etc. Same question also for the holding cost. How to find out the numbers?
Also for TC ,is it the same for all the products? You mentioned that the TC is the total time it takes to process one order ,so my question is does it mean that the TC is the maximum time it takes to process one Order ? Since the TC for an in-store buyer is different from an online buyer ,I am convinced that the TC for the online buyer is the maximum TC because there’s not much cost incurred by the business if the customer buys in store.
Ahah, you are the best @Mi Do, thanks for your support ! I am publishing the safety stock tutorial next week. Can't wait your first comment again ;-) Take care
Hi Edouard, Thank you very much for the instructing videos, I am a frequent watcher of all your videos. If you would be interested in offering even mor of your time to me - I would really appreciate if you could help me with one question I have about the EOQ. What I'm wondering is. The Transaction Cost part - this is just for that single product type? If for example the transaction cost is 100 Euro But I will refill 10 different products from the supplier. The Transaction cost for each product should be about (or slightly weighted to demand of each) 10EUR / product - giving a much lower EOQ. Is this thinking correct? Thank you kindly / Ted
Isn't here a problem with TC. Because if you order 1 pallet the costs are different than if you order full truck. If you factor in transport costs + bigger order means higher costs of putting items in the warehouse.
If you are looking to transition your supply chain funnel and apply this method without knowing the storage costs and so on, what would be a rough average % of a unit price. Should we use those % you have there? I'm trying to work out what the replen frequency and quantity should be for an ecomm fulfilment centre. Would we need to get these costs from the fulfilment centre first? Without having the costs, is there a way to simplify this if cost isn't a primary objective, perhaps later this can be optimised?
Hi ! No: either you have the costs and you use the formula, or you don't, and you don't use it. The percentage I use are just an indication, it can be specific to your business. To estimate the holding costs, I suggest to talk with your Finance department or the Warehouse administration staff! For cost of storage, insurance etc.
@AbcSupplyChain thank you, could you kindly recommend a channel or site where one could learn more about varied costs for supply chain. I'd like to have a general understand how to calculate a range of things like storage, freight, fulfilment etc.
Good afternoon, I went to download the sample excel file and Norton tagged abcsupplychain website as being malicious. Have you disputed this with Norton?
Hi Edouard,your videos are really great and helpful 😊🫱🏻🫲🏽.Can you please explain further as to how can you use the HC per category and not per unit/product . I am asking because I am given an inventory management project and I am stressing about how am I going to get the HC for each and every unit. Your response will be highly appreciated .
Hi Lavkesh. I reserve my time for Excel analysis only for members of AbcSupplyChain programs, I hope you understand. Still, you can register for my free workshop about Inventory Management as it could help you: abcsupplychain.com/inventory-management-workshop/
