Achieving Inventory Accuracy: A Guide to Sustainable Class A Excellence in 120 Days

Timely Reporting of Cycle Counts

There is a model hierarchy in the reporting and measuring of data accuracy for high performance:

  • Daily Inventory accuracy is a daily measurement and should therefore be reported and displayed visually each day in the work area. This would be posted by the dispatcher or person in charge of coordinating the cycle counting effort.

  • Weekly Weekly performance summaries are reported at the weekly performance review meeting held early in the week (usually on Tuesdays) at the same time each week. This information would be gathered by the process owner and reported along with the appropriate actions at this management system event.

  • Monthly Monthly reporting should be distributed and posted in the cafeteria, office area, and the factory. A good way to display this information is with a measurement board that covers all the performance metrics for the company. High-performance companies may have as many as fifteen to twenty measurements reported at this visual level to increase awareness and drive improvement in areas including customer service, warrantee, quality, schedule adherence, changeover improvements, process improvements, and data accuracy. On wall charts like the one shown in Table 9-5 used for Class A ERP implementations, percentage numbers, representing performance as an accuracy percentage of plan to actual, are displayed in the columns as is shown in the inventory accuracy performance for January. In this case, inventory was 98 percent accurate. Many organizations have fabricated such performance charts out of simple white boards...

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