Answer to Question #214684 in Management for Jasson

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

The inventory system for the large enterprises and its inventory intervals.

Inventory is always changing. Sales, returns, new receipts, and even harm and theft have an impact on your inventory levels every day. Despite the fact that it may be frustrating, competent inventory management and internal control are the most important jobs in a successful retail or wholesale organization. As your firm grows and the amount of inventory you handle grows, it becomes more difficult to effectively manage inventory. Using technology to your advantage will make things easier for you and your employees. This is why a list management system is so valuable to any retail establishment.

Inventory management is the process of keeping track of how many products you have on hand at your warehouse, in the future, or with other merchants and distributors. This enables you to have the right number of units in the right place, at the right time, and for the right price.

The inventory interval is the amount of time that passes between inventory analyses. In other words, it is the amount of inventory on hand and the product's demand.

According to the studies, inventory management and uncertain demand have a substantial relationship. The findings suggest that inadequate inventory management will result in unmet expectations, large enterprises will either have too much or too little inventory on hand, and this will lead to failure (Nemtajela & Mbohwa, 2017).

Best practices

1. Make a well-organized floor layout. It's critical that the warehouse is organized in a logical manner. In order to enhance efficiency, a well-organized room will have correct labeling and signage, with the most popular goods situated closer to the shipping area. Employees may get top sellers from a convenient spot rather than wasting time looking for them.
2. Use labels and signage that are easy to read. Relevant labeling speeds up and improves the efficiency of fulfillment.
3. Cycle counting should be implemented. The act of counting items in little chunks over a period of time is known as cycle counting. Cycle counting allows you to maintain effective inventory control and immediately identify discrepancies rather than counting everything at once, which can be time consuming.
4. Make use of warehouse management system. Warehouse management and inventory control systems allow personnel to efficiently track all things while reducing the risk of human error.

Role as operation manager

The operations managers are in charge of overseeing activities related to the production of goods and services. Their immediate roles include managing both the operations process and the organisational strategy, which includes design, planning, control, and performance improvement. As production operation manager, I can help with inventory control by giving a mechanism to trace things from the minute they arrive in the warehouse until the time they leave. I can offer barcode scanning, label manufacturing, data management, reporting, and other capabilities that assist ensure the warehouse functions properly.

Reference

Nemtajela, N. & Mbohwa, C. (2017). Relationship between inventory management and uncertain demand for fast moving consumer goods organisations. ScienceDirect. https://pdf.sciencedirectassets.com/306234/1-s2.0-S2351978917X00024/1-s2.0-S2351978917300963/main.pdf