width depth delivery frequency order size service make-to-stock payment terms make-to-order ordering costs changeover costs
assortment
conditions product type batch size stock safety stock transit inventory
being able to deliver
Mindmap for inventory management
Working capital = inventory days (inventory-days-on-hand) + accounts receivable days (order-to-cash cycle) - accounts payable days (purchase-to-pay cycle) = turnover / total assets = turnover rate
= cost of goods sold / average annual stock / 365 days
inventory + work in process = current assets + fixed assets = turnover materials employees depreciation other accounts receivable cash
inventory costs out-of-stock costs
demand fluctuation set up time production capacity capacity utilization rate supply chain risk no demand spare parts regulatory requirements supplier owned ordered inventory + physical inventory
seasonal products public holidays holidays in general
Inventory functIon
inventory types
fInancIaL IMpact
return on assets x gross margin
anticipation inventory capacity inventory Work In Process(WIP) strategic stock dead stock warranty stock insurance inventory consignment stock effective inventory
= profit / turnover
- costs
2
ordering costs logistic costs set up costs
administration handling shipping (floor) space interest risk
adminstration down time changeover set up obsolete operational fire theft
economic inventory + reserved inventory determine product range product life cycle planning promotions strategic products bottleneck products routine products lever products order
inventory cost first in first out (fifo)
introduction growth maturity relapse & phase out maintain supplier relation
assortment management
Inventory Management
last in first out (lifo) weighted average net price inventory valuation standard net price current net price
insurance cost cycle counting costs
strategic inventory Dual Sourcing Vendor Managed Inventory (VMI) managing delivery conditions s,Q-model s,S-model R,Q-model R,S-model fixed order quantity variable order quantity
vendor management
basic structure Push Pull demand forecast replenishment
make-to-stock deliver-from-stock asssemble-to-order make-to-order buy & make-to-order
control
variable order time
fixed order quantity fixed order time variable order quantity inventory turnover rate inventory value inventory days delivery reliability performance % on time in full measurement Inventory reliability # out-of-stocks % SKUs in stock # backorders dead stock holding costs Plan - Do - Check - Act improve
4
executIon
logistics Creators Mindmap:
3
analyses
ABC- of Pareto-analysis
inventory items inventory value product = turnover (against net price) / average inventory
XYZ-analysis
LogIstIcaL concept
information contribution
inventory items inventory value product turnover rate Inventory weeks customers suppliers products
Inventory Management Software/System systems Warehouse Management System (WMS) Enterprise Resource Planning (ERP) Electronic Point Of Sale system (EPOS) organization inventory management centralized decentralized inventory managers
SCM
data management
responsibility update master files products cycle counting
SUPPLY CHAIN movemeNt
competencies recruitment education
