Inventory ABC Analysis and Slotting

Task

$1.$ This is a group In$-$Class assignment, which will be assessed $(2\%).$ In your group, you are required to produce an ABC analysis of the data supplied in the Excel file $$Inventory ABC and Slotting$,$ which is available either in Brightspace $$New Content$,$ or MS Teams. The Inventory data is for just over $550$ of the Shelving SKU$$s of the Distribution Centre you designed, so consider what criteria you will use for determining the relative importance of the Inventory; there is sufficient information in the data to determine the criteria for the ABC analysis. Decide on the classification percentages and explain why you chose those percentages; also, advise on any other additional criteria you would recommend based on your analysis.

$2.$ Once you have the ABC classification complete you are to conduct a Slotting exercise of the Racking on the second tab of the Excel file $($Slotting$)$; assume that the racking is $50$ feet long and $4$ feet deep and $10$ feet high. Allocate ABC items to the different levels of shelving, as per your design $$ assume that there are $27$ rows of shelving and you are only slotting the first row; therefore, fill the most optimum picking shelves with the top A products, then the B shelves with the top B products etc, clearly showing how much linear shelf space each SKU will require.

Report

$3.$ Submit soft copy to Brightspace $($D$2$L $$ Inventory Slotting AICE$)$ by $11\mathrm{.}59$pm Fri $16$ Feb $2024,$ use the Excel file provided. Expectations are that the report will:

a$.$ Demonstrate the analysis performed to do the ABC analysis with items sorted accordingly in ABC sequence, clearly demonstrating the criteria used; furthermore, any additional criteria, based on your observations, should be highlighted with a recommendation to management on what to do with these items.

b$.$ Finally, the second tab $($Slotting$)$ will show where each SKU has been $$slotted$$ and how much linear space it required on the shelf $$ remember you are only $$slotting$$ the first row of shelving, not the full $27$ rows.