Inventory management
1. What is Inventory?
Inventory is a buffer stock
of spares, raw materials, WIP and finished goods which is required as insurance
against stock-outs and for meeting commitments to our Internal/ external customers.
2.What is Ideal Inventory?
This is optimum Inventory
required to fulfill the customers, regular and sudden requirements.
3.Should we have an Itemcode for
all items?
No.
4.What is Inventory Audit?
A scientific and proven
methodology to study the Inventory in order to arrive at an Ideal Inventory.
Understand the reasons
for Surplus and Shortfalls in Inventory.
5.Why do we need an Inventory Policy?
A documented Inventory
policy is needed to have a common understanding on item definitions and how these
items will be procured, stocked and consumed.Inventory policy aims at
achieving ideal inventories.
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