Hi,
I just noticed that the defect rate keeps increasing (see the graph line in the red circle) even though there was no new defect. The last one was in January 2025 (see red arrow). Strange?
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Its a percentage of shipments, so if you have 3 defects out of 300 shipments/120 days your performance adjusts as those volumes of shipments sent in fall off the window of time. That is why it drops when you send in shipments as noted on the downward spike.
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Thanks for your reply. Yes the graph had dropped since January up until mid March because there was no new defect. What surprised me was how/why the defect percentage has gone up since mid March even though no defect was found.
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“Problem rates are calculated by dividing the number of problematic units or shipments by the total number received over the past 120 days.”
It depends on the type of problem. Units incorrectly labeled would be units, box overweight would be shipments in the example given.
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Thanks for your reply. When you wrote “units”, you meant box, right?
Do you mean that because I haven’t shipped enough boxes to Amazon in the last 120 days, hence the denominator (total boxes in the last 120 days) is getting smaller causing the percentage to be higher? That’s an odd way to calculate
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As November / December shipments/units drop off, the average could go up because of less going in for 1st quarter. We would expect it to drop after May 14, 2025 when January 14, 2025 drops off (assuming no new issues).
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Thanks for sharing your graph. It doesn’t look as bad as mine. I wish my stock portfolio performance had the same shape of graph as my Amazon inbound performance
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Unit defect… Note in the bold line above the defect rate " product related defect group"
Shipment defect… Note the bold line above the defect rate " Inaccurate product quantities in shipment defect group"
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OK, it looks like I messed things up… VTR is right. Let me see if I can delete my messages to avoid any confusion… I could. Good.
As Lost_My_Marbles explained, this is a ROLLING formula, similar to IPI, that’s why it fluctuates…
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