This section describes analysis options available in the system:
Totals analysis
ABC analysis
Analysis using comparison periods
Frequency analysis
You can choose one of the four options, combine several of the analyses, or use all the options in one analysis.
Note
Note that purchase orders that have been put "on hold" are not taken into account because the data they contain is incomplete.
Running an Analysis of Order Values
You invoke all four of the above analyses as follows:
Choose
analysis
.
Enter your selection criteria.
The screen is subdivided into four parts. You can enter the following data:
The currency for the analysis
The net order values for the frequency analysis
Periods for the analysis of comparison periods
Selection criteria to which the analyses relate
Note
Choose
if you need further criteria from header and item data for your analysis.Choose to run the analysis.
You obtain a list of all documents that satisfy your criteria.
Totals Analysis
Totals analysis affords you an overview of the value of POs.
Procedure
Carry out the order value analysis as described in the section
Running an Analysis of Order Values
.
You obtain a list of all documents that satisfy your criteria. In this list, you can perform sorting, filtering, and totaling functions, etc.
For more information on this topic, refer to General Analyses .
ABC Analysis
The ABC Analysis is used for classifying vendors or materials by order value. The ABC indicator has the following values:
A Percentage with a high order value.
B Percentage with a medium order value.
C Percentage with a low order value.
The ABC analysis allows you to determine the relative importance of the individual vendors in your vendor base, for example. It provides you with an overview of any changes that may occur in your relationships with vendors.
Procedure
To run an ABC analysis, proceed as follows:
Carry out the order value analysis as described in the section
Running an Analysis of Order Values
.
You obtain a list of all documents that satisfy your criteria.
Note that filters are not taken into account when an ABC analysis is run. Instead, use suitable selection criteria or an appropriate display variant.
Select a numeric key figure column in the list (e.g.
Net value
).
Choose
ABC
to run the ABC analysis.
A window appears, in which you can choose between the following analyses for Key Figures (e.g. net value) and Characteristics (e.g. vendor, material):
Key figure (percentage)
Key figure (absolute)
Characteristics (absolute)
Characteristics (percentage)
Click .
You obtain a list in which all selected data records are allocated to the relevant segments.
If, for example, you have chosen the analysis
Key figure (percentage)
, the default values for the ABC analyses are 50 – 30 – 20 percent.
For more information, refer to the
BC Basis
documentation, section
ABC Analysis
.
Analysis Using Comparison Periods
This analysis allows you to easily detect changes in purchasing activities. For example, you can determine how much was ordered from which vendor by which purchasing organization or purchasing group, and by how much the total order value of one period differs from that of a comparison period
Procedure
To compare two periods, proceed as follows:
Choose
Enter the necessary data and specify the two periods you wish to compare in the fields
Period 1 - to
and
Period 2
-
to
.
Choose to run the analysis.
Note
You cannot compare overlapping periods.
Frequency Analysis
Use this analysis to determine which net order values most frequently occur for which purchasing organization or vendor, for example.
The frequency analysis can be used as a basis for negotiations with vendors. For example, you may find that you have issued many discrete purchase orders with a value greater than $2000 to vendor X, and an individual percentage quantity discount would be more favorable than the existing period-end rebate based on total business volume over a period.
Procedure
To run a frequency analysis, proceed as follows:
Choose
Enter the necessary data and specify in the fields
Net value 1
to
Net value 4
the limits for net values that are to be taken into account in the analysis.
For example, enter the following intervals in the fields
Net value 1
to
4
:
– Net value 1 up to 500
– Net value 2 up to 1000
– Net value 3 up to 2000
– Net value 4 up to 5000
If you specify four net value limits, document items with a net value exceeding net value 4 will be analyzed in an additional column
(>Net value 4
).
Choose to run the analysis.
You obtain a list containing all the document items assigned to the relevant net value intervals.
Example: Analysis with Comparison Period and Frequency Analysis
You want to determine and compare the order values in the first and second halves of the year.
To do so, specify the period 01.01.99 to 06.30.99 as period 1 and 07.01.99 to 12.31.99 as period 2.
You also wish to ascertain the PO items whose net value lies between $10,000 and $20,000. You therefore enter $10,000 as
Net value 1
and $20,000 as
Net value 2
.
After running the analysis, you get the following list:
Purchase order |
PO date |
Vendor |
Net value |
<= Net value 1 |
<= Net value 2 |
In period |
4500000123 |
12.28.98 |
Smith Corp. |
18,056 |
0 |
1 |
0 |
4500000124 |
03.15.99 |
Miller Corp. |
12,502 |
0 |
1 |
1 |
4500000125 |
06.20.99 |
ACME |
8,000 |
1 |
0 |
1 |
4500000126 |
08.25.99 |
Zenith Co. |
5,025 |
1 |
0 |
2 |
4500000127 |
30.09.99 |
Topstar Inc. |
3,750 |
1 |
0 |
2 |
From the list, you can see that:
The first purchase order was not created within the periods analyzed (value
0
in
In period
column).
The second and third POs were created in the first half of the year, i.e. in period 1 (value
1
in
In period
column).
The last two POs were created in the second half of the year, i.e. in period 2 (value 2 in
In period
column).
The net values of the first two POs lie between $10,000 and $20,000 and are thus assigned to net value 2 (value
1
in <=
Net value 2
column).
The net values of the other POs are below $10,000 and are thus assigned to net value 1 (value
1
in <=
Net value 1
column).
Note
You can create totals for the net values, calculate subtotals per period, and then summarize the list so that only the total net values per period are displayed, for example.