<?xml version="1.0" encoding="utf-8"?>
<ManualTopic ID="/baanerp/td/onlinemanual/000088" xml:lang="en">
   <Header>
      <Title>Moving average</Title>
      <Keyword type="header" order="d1e1653479">
         <Level1>Moving average</Level1>
      </Keyword>
      <Keyword type="header" order="d1e1653482">
         <Level1>Overall vendor rating</Level1>
      </Keyword>
      <Keyword type="header" order="d1e1653485">
         <Level1>Vendor rating</Level1>
         <Level2>calculating overall vendor rating</Level2>
      </Keyword>
   </Header>
   <GeneralSection>
      <Paragraph>One of the two methods to
		calculate the overall vendor ratings is <GUIRef href="/baanerp/td/domains/pur.smth.8#moveaverage" role="option">Moving Average</GUIRef>.</Paragraph>
      <Paragraph>If the method is <GUIRef href="/baanerp/td/domains/pur.smth.8#moveaverage" role="option">Moving Average</GUIRef>, you must define the number of periods that are taken into
		account in the <GUIRef href="/baanerp/td/pur/tdpur0100m800#tdpur000.smap.8" role="manual">Moving Average Periods</GUIRef> field of the <GUIRef href="/baanerp/td/pur/tdpur0100m800" role="session">Vendor Rating Parameters (tdpur0100m800)</GUIRef> session.</Paragraph>
      <Paragraph>ERP Enterprise calculates the overall vendor rating for the
		defined number of periods for each business partner as follows:</Paragraph>
      <Formula space-and-orientation="indented-estimated">
         <Paragraph>
New overall vendor rating = sum (PR * PV) / sum (PV)
</Paragraph>
         <FigLegend>
            <LegendEntry>
               <Symbol>PR</Symbol>
               <Desc>The period rating per business partner/period combination.</Desc>
            </LegendEntry>
            <LegendEntry>
               <Symbol>PV</Symbol>
               <Desc>The total value of the period.</Desc>
            </LegendEntry>
         </FigLegend>
      </Formula>
      <Paragraph>ERP Enterprise retrieves the value type that is taken into
		account, from the <GUIRef href="/baanerp/td/pur/tdpur0100m800#tdpur000.wmth.8" role="manual">Weighting Method</GUIRef> field of the <GUIRef href="/baanerp/td/pur/tdpur0100m800" role="session">Vendor Rating Parameters (tdpur0100m800)</GUIRef> session.</Paragraph>
      <ExampleSection>
         <SectionTitle>Example</SectionTitle>
         <List>
            <ListItem>The period rating that
			 is calculated for the newest period is 85%.</ListItem>
            <ListItem>The value for the
			 newest period is 1000 pieces.</ListItem>
            <ListItem>The number of <GUIRef href="/baanerp/td/pur/tdpur0100m800#tdpur000.smap.8" role="manual">Moving Average Periods</GUIRef> is set to three.</ListItem>
            <ListItem>The previous two
			 period ratings were as follows:</ListItem>
         </List>
         <TABLE border="1" borderstyle="default" space-and-orientation="indented-estimated">
            <TBODY noTR="4">
               <TR no="1" isLast="false">
                  <TH width="100" rowspan="1" colspan="1">Period rating</TH>
                  <TH width="123" rowspan="1" colspan="1">Value period 1</TH>
               </TR>
               <TR no="2" isLast="false">
                  <TD width="100" rowspan="1" colspan="1">70%</TD>
                  <TD width="123" rowspan="1" colspan="1">2000</TD>
               </TR>
               <TR no="3" isLast="false">
                  <TD width="100" rowspan="1" colspan="1">-</TD>
                  <TH width="123" rowspan="1" colspan="1">Value period 2</TH>
               </TR>
               <TR no="4" isLast="true">
                  <TD width="100" rowspan="1" colspan="1">80%</TD>
                  <TD width="123" rowspan="1" colspan="1">1500</TD>
               </TR>
            </TBODY>
         </TABLE>
         <Paragraph>New overall vendor rating:</Paragraph>
         <Formula space-and-orientation="indented-estimated">
            <Paragraph>(85 * 1000) + (70 * 2000) + (80 * 1500)) / (1000 + 2000 + 1500) = 77% </Paragraph>
         </Formula>
      </ExampleSection>
      <Paragraph>ERP Enterprise writes
		the result of this calculation to the <GUIRef href="/baanerp/td/pur/tdpur8102m000" role="session">Vendor Ratings by Period (tdpur8102m000)</GUIRef> and the <GUIRef href="/baanerp/td/pur/tdpur8102m100" role="session">Vendor Ratings by Criterion (tdpur8102m100)</GUIRef> sessions.</Paragraph>
   </GeneralSection>
   <RelatedTopics>
      <SectionTitle>Related topics</SectionTitle>
      <RelTopic>
         <Link href="/baanerp/td/onlinemanual/000087" role="manual">To update overall vendor rating</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/td/onlinemanual/000089" role="manual">Smoothing factor</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/td/onlinemanual/000090" role="manual">Calculating vendor ratings</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/td/onlinemanual/000079" role="manual">Overview of vendor rating</Link>
      </RelTopic>
   </RelatedTopics>
</ManualTopic>