Analyze the Following Data to Produce an ABC Classification Based

question 16

Essay

Analyze the following data to produce an ABC classification based on annual dollar usage:
part number annual unit usage unit cost $ annual $ usage ABC Classification $$\begin{array} { l l l } 1 & 200 & 10 \\ 2 & 15,000 & 4 \\3 & 60,000 & 6 \\4 & 15,000 & 15 \\5 & 1,400 & 10 \\6 & 100 & 50 \\7 & 25,000 & 2 \\8 & 700 & 3 \\9 & 25,000 & 1 \\10 & 7,500 & 1\end{array}$$

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Definitions:

Matrix Structure

An organizational structure that combines two or more types of structures, typically project-based and functional, to leverage the advantages of both.

Functional Structure

An organizational design that groups employees based on their job functions, leading to departments like marketing, finance, and operations.

Organising Function

A management activity that involves arranging resources and tasks to achieve objectives efficiently and effectively.

Management Functions

Fundamental tasks performed by managers, which typically include planning, organizing, leading, and controlling.