Inventory

Inventory is a physical resource that a firm holds in stock with the intent of selling it or transforming it into a more valuable state.

Inventory System

Inventory System is a set of policies and controls that monitors levels of inventory and determines what levels should be maintained, when stock should be replenished and large.

Reasons for Inventories

• Improve Customers services
• Economies of purchasing
• Economies of Production
• Transportation savings
• Unplanned Shocked (natural disasters, Surges in demand etc..)
• To maintain independence of supply chain

Advanced Inventory Management

Advanced Inventory Management works as a support when planning and making forecasts. Operations and sales can be planned on an aggregated level, where several alternative prognoses are weighed in before they are broken down to a main plan. The main plan is then broken down to a detailed material and delivery plan.

Advanced Inventory Management Planning

Advanced Inventory Management supports five different levels of planning:

• customer forecasts
• item forecasts
• item group
• product class
• total

What You Get with Advanced Inventory Management

• Customers, you often need them more than they need you. You have to keep them satisfied if you want to retain a competitive advantage and today’s customers are exceedingly demanding. They expect more flexible pricing and billing, and items to be in stock and delivered quickly every time.
• With Advanced Inventory Management you can surpass their expectations without incurring additional overhead through:
• Using the protected and reserve stock allocation functions to allocate customer stock by hierarchy, region, fixed amount and percentage
• Optimizing stock visibility into alternate items with the stock availability wizard, ship complete functionality, shipping and receiving calendars, advanced B/O management, product substitution/up-sell/down-sell, to ensure maximum    order line fill and single call customer satisfaction
• Using the advanced search, advanced order entry, and  customer part number search function to match stock and location and optimize shipping times for customer reorders
• Providing accurate information every time through  a centralized, real-time shipping and receiving calendar that allows you to anticipate inventory receipts and depletion

Optimized Inventory, Reduced Overhead, Better Business:
Controlling your inventory is about more than just knowing what you have and where you have it. You need to build better relationships with your vendors to reduce your inventory carrying costs, while at the same time meeting your customer demands. You need a system for managing your inventory across multiple locations in order to maximize shipping lead times, reduce redundancies and fill your orders faster