Answer to Question #214672 in Management for Jasson

Question

Question

Managing and keeping the inventory is a great challenged faced by the companies in today’s world. Companies have more focus on inventory management and they are also spending a huge budget on inventory management. Keeping this in mind, you are required to develop a relation between the inventory system for the large enterprises and its inventory intervals. Also explain, which is the best practice to use for Work in process inventory? Moreover, as a Production Operation manager what roles and responsibilities will you perform to complete the task assigned by the company?

Answer 1

Inventory management serves to balance the demand for product availability against the need to minimize stock holding and handling costs within the physical distribution system, with the primary goal being determining/controlling stock levels within the physical distribution system. System and methods for inventory management include identifying inventory requirements, setting targets, providing replenishment techniques, reporting actual and predicted inventory status, and handling all functions connected to material tracking and management. This would entail keeping track of material entering and exiting stockrooms, as well as reconciling inventory accounts. ABC analysis, lot monitoring, and cycle counting support may also be included. All of these practices result in the best possible product storage.

By taking inventory for a variety of reasons, including determining food costs and calculating cost percentages. There are a few methods for determining the worth of things in storage. These methods rely on maintaining detailed records of how much supplies cost and when they were obtained. In small businesses, it's easy to take inventory control for granted. Perhaps just one or two persons are in charge of purchasing, and they are usually aware of what goods are available. This does not mean you shouldn't keep track of your purchases and sales to check if you're on track with your budget. They monitor numerous aspects of the business, ensuring productivity and efficiency while attempting to cut costs. They supervise other key leaders in various areas and lead groups of individuals through their respective jobs to achieve company-wide objectives.