Essentials of inventory management
Max Muller (Author)
Beyond core tasks such as locating items, you've got to project future business needs, hold down costs, and fix supply chain problems. You need strategic and financial knowledge, and the skills to manage many moving parts. Essentials of Inventory Management is the answer book that practitioners and students rely on. It breaks down the job into easy concepts and concrete steps. New chapters in the third edition explain how to purchase inventory, pick the best location for a distribution center, and establish safety precautions for handling inventory. Maintaining physical spaces and databases are only part of your responsibilities. From forecasting to troubleshooting to the fundamentals of finance, this book gives you the tools to optimize efficiency--and drive profits
Print Book, English, 2019
Third edition View all formats and editions
Harpercollins Leadership, [New York], 2019
xvi, 368 pages : illustrations ; 24 cm
9781400212378, 9781400212385, 1400212375, 1400212383
1056687247
ch. 1 Inventory as Both a Tangible and an Intangible Object
Inventory
Who Needs It?
Inventory Costs
The Purpose of Inventory
Types of Stock
Tracking the Paper Life
Electronic Data Interchange
Recap
Review Questions
ch. 2 Inventory as Money
Accounting for Inventories
How Inventory Is Valued
Inventory on the Balance Sheet
Inventory on the Income Statement
Ratio Analyses and What They Mean
Current Ratio
Quick Ratio or Acid Test
Inventory Turnover Ratio
Profit Margins
Calculating Gross Profit
Merchandising Metrics
Pricing Generally
Selling Price
Obsolete Stock
Why You Have Been Told Not to Dispose of Obsolete Stock
Problems with Convincing Decision Makers That "It's Gotta Go"
Arguments in Favor of Disposing of Dead Stock
Methods of Disposal
Carrying Cost and Purchasing
Recap
Review Questions
ch. 3 Physical Location and Control of Inventory Common Locator Systems
Memory Systems
Fixed Location Systems
Zoning Systems
Random Locator Systems
Combination Systems
Common Item-Placement Theories
Inventory Stratification
Family Grouping
Special Considerations
Location Addresses and SKU Identifiers
Significance
Keys to Effectively Tying Together SKUs and Location Addresses
Inventory Distribution Considerations
Core Concepts in Distribution Network Planning
Transportation Network Design Options
Methods for Locating the Location
Recap
Review Questions
ch. 4 Automatic Identification
The Basics of Bar Coding
Elements of a Bar Code Symbol
Structure of a Generic Bar Code Symbol
Quiet Zone
Start and Stop Characters
Data Characters
"X" Dimension
Symbologies: Bar Coding Structural Rules
Discrete and Continuous Symbologies
Symbology Summary
Popular Symbologies Found in the Inventory World
Scanning Basics Printing Basics
Bar Code Applications
The Basics of Radio-Frequency Identification
Bar Code versus RFID
RFID Item Identification
The Advantages of RFID
The Problems Associated with RFID
Lack of RFID Standards
Money, Money, Money
System Disruption Vulnerability
RFID Reader Collision
RFID Tag Collision
Security, Privacy, and Ethics Problems with RFID
2D Symbologies
Recap
Review Questions
ch. 5 Planning and Replenishment Concepts
Replenishment Costs
Types of Inventory Management
Independent Demand Inventory
Economic Order Quantity Formula
Dependent Demand Inventory
Inventory Objectives
Enterprise Resource Planning
Recap
Review Questions
ch. 6 Why Inventory Systems Fail and How to Fix Them
Inventory System Failure: A Case Example
Discussion of Example Case
Metrics
Inventory Record Accuracy
Fill Rates
Tools with Which to Uncover System Dysfunctions
Run Charts Flow Charts
Logic Charts
Variance Reports
Cycle Counting
Annual Inventories
Cycle Counting
Cycle Count Methodologies
Control Group Cycle Counting Method
Location Audit Cycle Counting Method
Random Selection Cycle Counting Method
I Diminishing Population Cycle Counting Method
Product Categories Cycle Counting Method
A-B-C Analysis Cycle Counting Method
When to Count
Who Should Count
Recap
Review Questions
ch. 7 Core Purchasing Inventory Considerations
Buyers and Sellers as Lawyers
Scenario One
Scenario Two
Scenario Three
Uniform Commercial Code (UCC)
A Code
Organizational Structure
Introduction to UCC Article
(Sale of Goods)
Merchants
Contract Formation
Formation Process
Elements
Missing Terms/UCC Gap Fillers
Statute of Frauds & When a Written Contract or Confirmation Is Necessary
Battle of the Forms
Warranties
Warranties and the UCC Contract Modification
Adjustments to a Contract
Contract Performance
Buyer's Right of inspection
Rejection of Goods
Seller's Right to Cure
Seller's Right to Reclaim Goods
Excuse
Substitute Delivery
Contract Breach
Anticipatory Repudiation
Remedies for Breach of Contract
Seller's Remedies
Buyer's Remedies
Recap
Review Questions
ch. 8 Basics of Supply Chain Risk Management
SCM in a Perfect World
Primary Risks in SCM
Globalization and Supply Chain Complexity
Conflicting Interests
System Fluctuations Over Time
Evolving Relationships
Product Complexity
Inadequacy of Insurance
Suppliers
The Bullwhip Effect
Disruption in Communications
Inadequate Software
Suggested Solutions to SCM Problems
Analysis of Risks
Supplier Assessment
Lessen the Bullwhip Effect Through Coordination Within the Supply Chain
Contracts That Do and Don't Coordinate the Supply Chain Inventory Levels
Recap
Review Questions
ch. 9 Handling Inventory Safely
Occupational Safety and Health Act
General Duty Clause
Injury and Death Reporting
What Must Be Reported and When
Exceptions to Reporting
Reporting Methods
Information to Provide
Powered Industrial Trucks
Powered Industrial Truck Definition
Basic Requirements of PIT Safety
Training Program Content
Refresher Training and Evaluation
Avoidance of Duplicative Training
Certification
Vehicle Capacity and Stability
Other Mandated Safe PIT Operating Practices
Ergonomic Issues
Discovering Ergonomic Hazards
Conducting a J HA
Selecting Jobs to Be Analyzed
Prioritizing
Analyzing
MSD Risk Factor
Force
MSD Risk Factor
Repetition
MSD Risk Factor
Awkward and Static Postures
MSD Risk Factor
Contact Stress
Recommended Work Practices
Best and Preferred Work Zones
Lifting Safety Recommendations When Holding, Lifting, or Carrying Items
Recommended Working Postures
Power Grips, Power Lifts, and Pinch Grasps
Recap
Review Questions