Cumulative Quantities (logistics)
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Cumulative quantities are a concept in
logistics Logistics is generally the detailed organization and implementation of a complex operation. In a general business sense, logistics manages the flow of goods between the point of origin and the point of consumption to meet the requirements of ...
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, and selling of motor vehicles. It is one of the world's largest industry ...
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 handled ...
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 Control theory is a field of mathematics that deals with the control of dynamical systems in engineered processes and machines. The objective is to develop a model or algorithm governing the application of system inputs to drive the system to a ...
. 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 In logistics, a counting point (CP; also known as a status point, data acquisition point, check point, or control point) is a certain spot designated for planning, controlling, and monitoring material flow items (e.g. single parts, assembly groups, ...
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 stored and accessed electronically. Small databases can be stored on a file system, while large databases are hosted on computer clusters or cloud storage. The design of databases sp ...
,
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 ...
or in data-acquisition appropriate counter-measures are needed. Examples for mistakes or failures wrong primary demand or bad
forecasting Forecasting is the process of making predictions based on past and present data. Later these can be compared (resolved) against what happens. For example, a company might estimate their revenue in the next year, then compare it against the actual ...
, mistakes in
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 Master data represents "data about the business entities that provide context for business transactions". The most commonly found categories of master data are parties (individuals and organisations, and their roles, such as customers, suppliers, ...
, old
Master Production Schedule A master production schedule (MPS) is a plan for individual commodities to be produced in each time period such as production, staffing, inventory, etc. It is usually linked to manufacturing where the plan indicates when and how much of each produ ...
, 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 acro ...
, calculation mistakes, mounting of incorrect parts at
assembly line An assembly line is a manufacturing process (often called a ''progressive assembly'') in which parts (usually interchangeable parts) are added as the semi-finished assembly moves from workstation to workstation where the parts are added in seq ...
.


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 In commerce, a supply chain is a network of facilities that procure raw materials, transform them into intermediate goods and then final products to customers through a distribution system. It refers to the network of organizations, people, acti ...
.


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 tools, business management ...
*
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 system ...


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