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Critical Ratio
Production Planning

Critical Ratio

Priority index equal to time remaining until due date divided by remaining work time; values below one indicate lateness risk.

Examples

  1. 01An order due in 4 days with 6 days of work left has a critical ratio of 0.67, so it is moved to the top of the list.
  2. 02The planner reviews all orders with a critical ratio below 1.0 every morning before releasing new work.
  3. 03Using the critical ratio, the daily meeting focuses on the five orders most at risk instead of discussing all 80.

Related terms

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