Inventory Systems are the software used to plan and track inventory balances and activities (Investopedia, 2012). There are many inventory systems, which can be used in an organization to track products sold or used. Team B’s team members will describe his or her organization and the current inventory system he or she uses. Each member will discuss the advantages and disadvantages of his or her inventory system. Team B will also do a comparison between each organization to identify the strengths and weaknesses. Below one will find the discussion to the topics mentioned above.…
2. CONSIDERATION OF RELEVANT THEORIES & CONCEPT 2.1 Logistics: According to Grund & Vartdal, logistics is “the process of planning, implementing and controlling the efficient, cost effective flow and storage of raw materials, in-process inventory, finished goods, services and related information from point of origin to point of consumption for the purpose of conforming to customer Requirements’ Council of Logistics Management” (Grund & Vartdal, 2000). It is a part of value chain activity, planed, implemented and controlled in order to meet customers’ needs for goods, services and related information, it is a combination of transport, storage, handling, packaging, distribution processing, distribution, information processing and other basic functions. Logistic Management has four major characters, firstly, to achieve customer satisfaction as the first target, secondly, optimize the enterprise as a whole as the purpose, thirdly, information-centric, fourthly, value efficiency and effectiveness. 2.2 Logistics and Transportation: There are several classifications for logistics and transportation. - Road transport: Mainly use gas trucks and other vehicles, road transport is responsible for close and small quantities of cargo, also where water transport and rail transport difficult to play their advantages. Road transport has several advantages such as strong flexibility, road construction period is short, low investment, easy to fit in local conditions and less demanding for facilities…
It is important for business owner’s to constantly monitor the inventory held by a trading business since the success or failure of a business is often decided by the decision-making of management in relation to its inventory. Inventory is the most valuable asset reported in the balance sheet. If inventory is not managed effectively, the overall performance of a trading firm will suffer and so will the returns to the owner in terms of profit. As the success of a trading firm is based on the buying and selling of goods, the management and control of inventory is crucial to this objective.…
This week, I also had to analyze the inventory level and quarterly trend of one of GPA’s warehouses. I was assigned with the Dededo Warehouse which is divided into eight divisions: T&D Warehouse, Transformer, Marbo CT, Macheche CT, Water System, T&D Meters, Dededo CT, and Dededo Diesel. I had to use a pivot table to divide the inventories accordingly and analyzed them from there. Some of the inventories they maintain here include poles, fuel filters, gaskets, cables, transformers, bolts, etc. According to my supervisor, maintaining enough inventory of these items is important in GPA’s daily operations but most especially in the event of natural disasters or power outages. However, having too much inventory is also unfavorable because this means that cash is tied up and cannot be used for other things.…
The source of the problems is a weak inventory management system, there are several problems:…
Sound inventory management is one of the company’s keys to success. Effective auditing procedures enable success by increasing the company’s ability to meet deadlines, appropriately allocate resources and operate efficiently. The three primary inventory concerns as per this case study are:…
Furthermore, the case study will look at inventory management, inventory control and whether the Purchasing Manager should build up her inventory. It will reflect the need to hold inventory as well as dangers and consequences for poor inventory control. The case study will reflect on materials management as a concept that is applied nowadays in order to streamline process and ensure system efficiency, its advantages and whether the firm must adopted the materials management approach. Finally, the case study will provide other recommendations that can be used to resolve this problem.…
Every company, no matter the size deals with inventory issues. How these issues are dealt with can determine the outcome of the company. If not done in a rectifiable fashion, the company could face serious threats up to and including closure. We chose Wal-Mart as our company from our last paper, as it proposes an interesting dilemma in that despite the continued growth, all is not well with Sam Walton’s creation. This paper will discuss the inventory problems, the expected benefits that may or may not motivate the organization for change and our assessment for an alternative solution.…
As with the growing complexity of transporting goods and supplying materials for a business in world’s supply chain, expertise that developed to deal with this kind of problem is imperative so logistics. The concept of logistics is not specific, the world’s formal definition is ‘Logistics is the management science of supply chain and the art of controlling and managing any kinds of resources flow like products, information, petrol and even people between the origin point and the consumption terminal so as to satisfy clients’ demand’. Logistics is in relation to the process of moving the right products and services at the right quality to the right place at the right time with right prices. It is said to be the essential part of any marketing or manufacturing activities. Logistics involves…
With the perseverance and hard work, the business steadily grew through the years and in the year 1998; the small junkshop was improved into a general merchandise selling building and home improvement materials and used goods. As the years past, the business acquired loyal customers that have been buying their goods for years. Also, with the help of their loyal customers, they have obtained publicity and a free advertisement that enable them to acquire new customers. However, even though the business is still growing, it will need a good inventory system for its products. Having an inventory system would greatly help the owners in their business.…
The basic objective of inventory management is to provide the company with uninterrupted sales, production and customer service by incurring minimum cost. The inventory represents large portion of current asset of the company and also represent the volume of investment that is tied up in in form of raw material or finished products. Inventory management helps the managers to keep track of the inventory and also helps in reducing cost to the minimum level. Good inventory management helps the business to increase and maintain the profit margins. Inventory management can help in increasing the efficiency of the business in its operations. Lack of priorities, inaccurate tracking system and too much inventory has the potential to disrupt the operation of business and can also reduce profit margin of the business (Michalski,…
The overseeing and controlling of the ordering, storage and use of components that a company will use in the production of the items it will sell as well as the overseeing and controlling of quantities of finished products for sale. A business's inventory is one of its major assets and represents an investment that is tied up until the item is sold or used in the production of an item that is sold. It also costs money to store, track and insure inventory. Inventories that are mismanaged can create significant financial problems for a business, whether the mismanagement results in an inventory glut or an inventory shortage.…
This written report would underline all factors that directly /indirectly affected to Ocado ,UK and Parnshop,HK to fulfill the achievements during the entire home grocery delivery logistics operation process. Moreover, heaps of logistics strategies, IT solution would be founded in this report, at last; it will also discuss the key difficulties in maintaining a high level of customer service at optimal cost.…
I hereby declare that this original main project report titled “Inventory Management” submitted by me to the miracle educational society group of instiutions bhogapuram, vizianagaram. In fulfillment for the award of the degree of Master of Business Administration is original and it wasn’t previously submitted to any…
The following statements given are related to our study about the inventory system which is found very useful for the proponents in making the system.…