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Question: What is VED Analysis?

Answer: Vital essential and desirable analysis is used primarily for the control of spare parts. The spare parts can be divided into three categories:
(i) Vital:The spares the stock out of which even for a short time will stop production for quite some time and future the cost of stock out is very high are known as vital spares.
(ii) Essential:The spare stock out of which even for a few hours of days and cost of lost production is high is called essential.
(iii) Desirable:Spares are those which are needed but their absence for even a week or so will not lead to stoppage of production.

Vital essential and desirable analysis is used primarily for the control of spare parts. The spare parts can be divided into three categories:
(i) Vital:The spares the stock out of which even for a short time will stop production for quite some time and future the cost of stock out is very high are known as vital spares.
(ii) Essential:The spare stock out of which even for a few hours of days and cost of lost production is high is called essential.
(iii) Desirable:Spares are those which are needed but their absence for even a week or so will not lead to stoppage of production. Source: CoolInterview.com

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