Cumulative Quantities (logistics)
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Cumulative quantities are a concept in
logistics Logistics is the part of supply chain management that deals with the efficient forward and reverse flow of goods, services, and related information from the point of origin to the Consumption (economics), point of consumption according to the ...
that involves adding up required materials quantities over a defined time-window that can be drawn as a 'cumulative curve'. This concept is applied in
serial production Serial may refer to: Arts, entertainment, and media The presentation of works in sequential segments * Serial (literature), serialised literature in print * Serial (publishing), periodical publications and newspapers * Serial (radio and televisio ...
and mainly used in the
automotive industry The automotive industry comprises a wide range of company, companies and organizations involved in the design, Business development, development, manufacturing, marketing, selling, Maintenance, repairing, and Custom car, modification of motor ve ...
to plan, control and monitor production and delivery. The concept is sometimes called 'cumulative production figures principle' (CPGP).


Closed-loop-cycle

The concept of cumulative quantities (CCQ) uses the
feedback Feedback occurs when outputs of a system are routed back as inputs as part of a chain of cause and effect that forms a circuit or loop. The system can then be said to ''feed back'' into itself. The notion of cause-and-effect has to be handle ...
mechanism of a closed loop, which can be found in industrial, engineering and electronic systems. The target requirements are summarized for each time-interval and compared with the actual values for
closed-loop control A closed-loop controller or feedback controller is a control loop which incorporates feedback, in contrast to an ''open-loop controller'' or ''non-feedback controller''. A closed-loop controller uses feedback to control states or outputs of a dy ...
. Positive cumulative deviation for a certain time-interval requires no further order, while negative deviations require a new order. To "calm" production and material flow, upper and lower tolerance boundaries are defined, and only if these boundaries are violated is a renewed order. To check the entire production and material flow, 'reporting limits' can be defined at a chosen counting point, and if a limit is exceeded, a concerned 'alert' is issued. The logistics staff has to explain the reason for the 'alert'. If the reason is correct and traceable, no further action is needed. If mistakes are present in the
database In computing, a database is an organized collection of data or a type of data store based on the use of a database management system (DBMS), the software that interacts with end users, applications, and the database itself to capture and a ...
,
data processing Data processing is the collection and manipulation of digital data to produce meaningful information. Data processing is a form of ''information processing'', which is the modification (processing) of information in any manner detectable by an o ...
or in data-acquisition, appropriate countermeasures are needed. Examples of mistakes or failures include wrong primary demand or bad
forecasting Forecasting is the process of making predictions based on past and present data. Later these can be compared with what actually happens. For example, a company might Estimation, estimate their revenue in the next year, then compare it against the ...
, mistakes in the
bill of material A bill of materials or product structure (sometimes bill of material, BOM or associated list) is a list of the raw materials, sub-assemblies, intermediate assemblies, sub-components, parts, and the quantities of each needed to manufacture an end ...
or master data, old master production schedules, inaccurate or delayed
data acquisition Data acquisition is the process of sampling signals that measure real-world physical conditions and converting the resulting samples into digital numeric values that can be manipulated by a computer. Data acquisition systems, abbreviated by the ...
, calculation mistakes, and the mounting of incorrect parts at the
assembly line An assembly line, often called ''progressive assembly'', is a manufacturing process where the unfinished product moves in a direct line from workstation to workstation, with parts added in sequence until the final product is completed. By mechan ...
.


Counting points

Target-actual-control-loop uses exactly defined counting points that demarcate the next-following intervals along the supply chain.Paul Schönsleben: ''Integrales Logistikmanagement'', Springer Vieweg Verlag, 7. Aufl., 2016, S. 308 The cumulative differences of next-following counting points show the quantities of material items which traverse the Interval and therefore offer transparency of the inventory of an item along the entire
supply chain A supply chain is a complex logistics system that consists of facilities that convert raw materials into finished products and distribute them to end consumers or end customers, while supply chain management deals with the flow of goods in distri ...
.


Supply chain

Cumulative quantities are a part of official EDI-formats (e.g.
EDIFACT United Nations/Electronic Data Interchange for Administration, Commerce and Transport (UN/EDIFACT) is an international standard for electronic data interchange (EDI) developed for the United Nations and approved and published by UNECE, the UN Econ ...
– DELFOR) that are widely used by OEMs and their suppliers. Normally the data acquisition at 'goods receipt' are used for communication between consignee and goods dispatcher.


See also

*
Enterprise resource planning Enterprise resource planning (ERP) is the integrated management of main business processes, often in real time and mediated by software and technology. ERP is usually referred to as a category of business management software—typically a suit ...
*
Material requirements planning Material requirements planning (MRP) is a production planning, scheduling, and inventory control system used to manage manufacturing processes. Most MRP systems are software-based, but it is possible to conduct MRP by hand as well. An MRP syst ...


Literature

* * . * {{citation, surname1= Paul Schönsleben , title= Integral Logistics Management: Operations and Supply Chain Management in Comprehensive Value-Added Networks , publisher= Taylor and Francis Group , publication-place=Boca Raton New York, isbn=978-1498750530, edition= 5th, date=2016, language=English


References


External links

* SAP-HELP-CO

Logistics Supply chain management