The objective of inventory management is to provide uninterrupted support of materials to production and operations. Since for many companies inventory is the largest item in the current assets category, inventory problems can and do contribute to losses. This Coventry Academy training course examines the Inventory control, a similar term, is the area of inventory management that is concerned with minimizing the total cost of inventory while maximizing the ability to provide customers with product in a timely manner. Inventory Management is still one of the least understood practices in many companies and managers often fail to see the causal link between Inventory Management and good business results.
What are the goals?
By the end of this Coventry Academy training course, participants will be able to:
Plan and Maintain Inventory at Sufficiently High Level to Support Production and Operations Activities Smoothly
Minimize Investment in Inventory at Minimum Level to Maximize Profitability
To Evaluate Investment in Inventory at Optimum Level Thus Minimizing Carrying Cost of Inventory
Establish Selective Inventory Management Control Utilizing Value and Criticality Analysis
Establishing Minimum Inventory Ordering Cost Using Economic Order Quantity Principles
Who is this training course for?
This Coventry Academy training course is suitable to a wide range of professionals but will greatly benefit:
Those Involved in Inventory, Albeit as Supplier, Buyer, Materials Planner, Warehousing, Finance or Even End-Customer
Professionals and Staff in the Organization Who Are Responsible for Reducing Costs, Increasing Productivity, Raising Inventory Turns and Enhancing Customer Service Through High Fill Rates, Accurate Information and Excellent Order Fulfillment
Course Outline
Day One: Inventory in the Value Chain
The purpose of inventory in the value chain
Classification of inventory
Procedure for eliminating obsolete inventory
Pareto Law in identifying product Classification
Location of inventory
Using Economic Order Quantity on managing inventory order levels
Day Two: Demand Planning
Basic forecasting methods
Customer segmentation
Hierarchy of planning
Aggregate planning
Maintenance & Inventory planning meeting
Master Scheduling
Day Three: Forecasting
Principles of forecasting
Effect of lead time on the forecasting process
Quantitative forecasting
Qualitative forecasting
Tracking forecast accuracy
·Determining safety stock
Day Four: Inventory Recording
Period stock take
Cycle counting
Perpetual recording
Utilizing Bar-cades to manage inventory and movements
The use of Radio Frequency Identification (RFID) for recording inventory movement
Inventory accounting
Day Five: Performance Measurement
Stock turnover rate
Customer service
Cost of operations
Measuring the effectiveness of your system
How to use the measurements
Class exercise on selective inventory management
The certificate
Coventry Academy Certificate of Attendance will be provided to delegates who attend and complete the course