CART® Classification for Predict Supplier On-time Delivery

Use CART® Classification to use complex relationships with multiple predictors to predict supplier on-time delivery.

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

Example

Supplier on-time delivery is the proportion of orders that your suppliers deliver on time. To calculate supplier on-time delivery rate, divide the total number of on-time orders from suppliers by the total number of orders from suppliers.

In this worksheet, On Time is the response. The response event is On Time. Number of Items is the continuous predictor, and Vendor Contract, Incentive Plan, and Region are categorical predictors.

C1-T	C2	C3-T	C4-T	C5-T
`On Time`	`Number of Items`	`Vendor Contract`	`Incentive Plan`	`Region`
On Time	5775	Yes	Gold	Northwest
On Time	6854	Yes	Standard	Northwest
On Time	5992	No	Standard	Midwest
Late	6741	Yes	Gold	Midwest

How-to

Choose Solutions Modules > Functions > Supply Chain KPIs, then select Launch.
Under Delivery, select Supplier on-time delivery.
Select Predict supplier on-time delivery, then click OK.
Select CART® Classification, then click OK.
In Response, enter the binary variable that contains the delivery data. Binary variables are categorical variables that have two possible levels, such as pass/fail or true/false. The response is also called the Y variable.
In Response event, select the value that represents an on-time delivery.
In Continuous predictors, enter the continuous variables that may explain or predict whether a delivery is late. The predictors are also called X variables.
In Categorical predictors, enter the categorical variables that may explain or predict whether a delivery is late. The predictors are also called X variables.
Click OK.

Tip

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