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    The ABC analysis categorizes inventory items as A, B, or C based on sales frequency, with A items selling most frequently and C items selling least frequently. In contrast, family grouping organizes items based on similar characteristics so that related products are received, stored, picked and shipped together, rather than by sales volume alone.

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    The ABC analysis categorizes inventory items as A, B, or C based on sales frequency, with A items selling most frequently and C items selling least frequently. In contrast, family grouping organizes items based on similar characteristics so that related products are received, stored, picked and shipped together, rather than by sales volume alone.

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    The ABC analysis categorizes inventory items as A, B, or C based on sales frequency, with A items selling most frequently and C items selling least frequently. In contrast, family grouping organizes items based on similar characteristics so that related products are received, stored, picked and shipped together, rather than by sales volume alone.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
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    177 views1 page

    1 PDF

    Uploaded by

    Kim
    The ABC analysis categorizes inventory items as A, B, or C based on sales frequency, with A items selling most frequently and C items selling least frequently. In contrast, family grouping organizes items based on similar characteristics so that related products are received, stored, picked and shipped together, rather than by sales volume alone.

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    © All Rights Reserved
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    Download as pdf or txt
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    What is the difference between family grouping and a-b-c categorization?

    The ABC analysis is an inventory categorization method that assigns a class to every item - or SKU, or
    product - typically referred to as A, B and C, where A (resp. C) is the class associated with the most (resp.
    least) frequently sold or consumed items. The family grouping is different from the common A-B-C
    approach. the Family Grouping (similar product) approach. This approach to item placement locates items
    with similar characteristics together. In theory, similar characteristics will lead to a natural grouping of
    items that will be received/stored/picked/shipped together.

    This study source was downloaded by 100000863182490 from CourseHero.com on 03-06-2023 08:07:54 GMT -06:00

    https://www.coursehero.com/file/87876372/1docx/
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