MANAGING EFFECTIVE INVENTORY BALANCING AND COST CONTROL

• Understand the important and purpose of the  key principle of Inventory management
• Develop understanding on the different type of inventory management strategies
• Understand the different type of valuation method
• Identify the correct type inventory replenishment strategies to use
• Develop understanding between work instruction and Standard Operating Procedure
• Understand the key warehousing operating processes for efficient inventory management

COURSE CONTENT

Module 1 – Introducing Basic Inventory and Stock Management and Procedure 

• Definition of “inventory” and “stock”
• Types of inventory
• Key Principle of Inventory Management
• Inventory on business bottom-line profit
• Type of integration in inventory management
• Internal and External Integration
• Consignment stock
• Vendor managed inventory
• Push and Pull strategies
• Pareto technique
• Key Principle of Inventory management
• Work instruction best practices

Module 2 – Replenishment strategies

• Holding cost
• Economic Order Quantity
• Continuous order method
• Periodic review method
• Safety stock calculation
• Reorder stock calculation

Module 3 – Material and Inventory Forecasting

• Inventory Qualitative Forecasting method
• Inventory Quantitative Forecasting method
• Measuring Inventory Forecasting Accuracy

Module 4 – Managing Inventory Accuracy

• Cycle counting technique
• Cycle counting versus Stock taking
• Stock control technique to reduce stock movement
• Put away and Location management
• Receiving procedure for high stock accuracy
• Picking and Issuing procedure for high stock accuracy
• Managing stock for preservation
• Key Performances Index (KPI)

Module 5 – Inventory Storage and Distribution Techniques

• Fixed location versus Dynamic (Random) location system
• Indirect versus Direct Putaway method
• Cross docking for efficient inventory turnover
• Picking strategies for distribution
• Key Inventory Principles for Warehousing operation

Module 6 – Inventory Key Indicators

• Inventory turnover rate
• Week and Days on hand ratio
• Put away efficiency
• Fulfillment KPI
• Backorder KPI
• SLOB KPI
• Shrinkage KPI

Module 7 – Inventory Balancing Management

• Key process of inventory balancing
• Performance tracking