Capability Sixpack: Normal for Decrease Total Supply Chain Management Cost As A Proportion Of Sales

Use Capability Sixpack: Normal to demonstrate that a process is capable of meeting expectations for total supply chain management cost as a proportion of sales.

This example applies to the Supply Chain Module. For more information, go to www.minitab.com/supply-chain-module.

Example

Total supply chain management cost as a proportion of sales is the total supply chain costs for a specific time period divided by the total sales.

In this worksheet, Total Cost Proportion is the data column.

C1
Total Cost Proportion
0.154
0.143
0.167
0.139

How-to

  1. Choose Solutions Modules > Functions > Supply Chain KPIs, then select Launch.
  2. Under Costs, select Cost as a proportion of sales.
  3. Select Decrease total supply chain management cost as a proportion of sales, then click OK.
  4. Select Capability Sixpack: Normal, then click OK.
  5. Under Data are arranged as, select Single column.
  6. In Single column, enter the column that contains the proportions data.
  7. In Subgroup size, enter 1.
  8. In Upper spec, enter the upper specification limit for total supply chain cost as a proportion of sales. This is the highest supply chain cost as a proportion of sales that is acceptable to your organization.
  9. Click Transform, select Box-Cox power transformation (W = Y^λ). (This step is not necessary if your supply chain cost as a proportion of sales data follow a bell-shaped pattern in the histogram.)
  10. Click OK.
Tip

For more information about this analysis, click Help in the main dialog box.