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Glossary · Planning

What is ABC analysis?

ABC analysis ranks products by their contribution to sales or margin and groups them into A (the few that matter most), B and C (the long tail).

A common split puts roughly the top 80% of revenue in A, the next 15% in B and the last 5% in C. A items get tight control and higher service levels; C items get simple rules. Adding XYZ, a measure of demand variability, separates steady products from erratic ones.

How Stokrio handles it

Stokrio's ABC-XYZ classification report groups products by value and demand variability.

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