2.4 Stock Control Flashcards
Inventory
Stock and supplies held eg rm,wp,finished goods
why is it imp to manage stock well
cooridnate and mgt= comp adv
factors inf stock lev
amt wc, type, lead time, demand, stock factors
max, reorder lev, min, lead time
most, trigger so order stocks, buffer, time from plt to arrival
benefits of good stock control
knw if suplliers delivered late or order was late
more space= less s costs,= easy to manage
conseq of bad stock control
opp cost dent comp, cf prob+=less relev stock shrinkage,
financial cost of storage and capital
little= unmet orders=unhappy=loss of sales
buffer stock
meet and repond demand but money tied stock
continue despite prob but risk of waste eg obsolete
JIT
supply triggered by demand so min stock frees capital
JIT adv
imrpove wc= trade debtors decrease
less liklihood of obsolete and get it right the first time
low toskc holding, low cots
JIT dis
little room for mistakes as prod highly reliant on suppliers
no spare to meet unexpected demnad
parts arrive from diff countries
lean prod
reduce waste in op process by using less resources
lean prod analyis
less stock less costs and more space
high prof= speed dvt
fewer defects
comp adv of lean prod
max input, quality, min waste
waste min
result of lean prod and less materials, space, capital and time is used.
store app, rotate, price strategies
