Inventory Management

Introduction

Over the years Materials function has evolved from Gate keeper role to partnerships and JVs for a lasting buyer-supplier relationship and ultimately converting Materials function in to a profit center thereby expanding the bottom line with shortest throughput times.

Working capital management is crucial to the growth of a Material executive who has to walk a tight rope between working capital constraints and un-interrupted flow of material to ensure no production hold-ups.

Over the years the role of a Materials executive has evolved from buying to material/supplier management to working capital controller as it is he (she) who controls almost 65% of the company’s working capital.

It is our endeavour to help you understand importance of Inventory thru the various performance indicators which will help you understand the importance of an agile and lean organization along with concern for uniform production for the organization.

In the current economic climate inventory is more important than ever.  With slowing activity, inventory decisions that result in excess inventory will take much longer to correct and the working capital that is tied up hurts even more when capital is hard to come by. Improve inventory positions, lower operating costs and enhance customer satisfaction. Respond quickly to customer demands, increase inventory turns and improve line-level accuracy.

This program will take you through the changing role the Materials function has evolved from Traditional arms length approach to hand holding to partnership and JV ultimately leading to optimum working capital with overall low costs.

• The role and cost of inventory
• Principles of common control techniques
• Practical pitfalls and how to avoid them
• Relationships between stock levels, frequency of ordering and customer service
• How to focus effort where it will be most effective
• Choosing cost-effective methods of control
• Calculating control parameters
• Forecasting stock levels, values and holding costs
• Implementing effective monitoring and exception reporting
• Different methods & models of replenishment
  – re-order point
  – routine review
  – impact of demand inequities
  – demand management
  – materials requirements planning
  – kanban systems
  – consignment stocks
• Inventory control and management
• The review cycle

Inventory management course resources https://princetonacademy.in/resources/