Inventory Management:

Inventory often represents the single largest investment in assets for manufacturing companies. This course will take a look at the different types of inventories that are carried: finished goods, work-in-process, raw materials and supplies. Managing inventories to minimize the overall total cost to an organization while maximizing customer service will be studied. Various lot sizing and replenishment strategies will be examined including the traditional theories such as: EOQ, fixed order points, fixed interval ordering, and min/max replenishment, in terms of both units and forward coverage. Current methodologies, practices and concepts, such as VMI (vendor managed inventory), continuous replenishment, just-in-time, kanbans, and CPFR will be examined.

The role of inventory in aggregate planning and the sales and operations planning (S&OP) process will be covered. Inventory management systems will be reviewed including material requirements planning (MRP), independent demand inventory replenishment systems and distribution requirements planning (DRP).

Key Concepts:

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