By Edward A. Silver, David F. Pyke, Douglas J. Thomas
Authored via a crew of specialists, the recent variation of this bestseller offers functional recommendations for dealing with stock and creation all through provide chains. It covers the present context of stock and creation administration, replenishment platforms for coping with person inventories inside a company, dealing with stock in a number of destinations and companies, and creation administration. The ebook provides subtle innovations and ideas with a watch in the direction of today’s financial system of world call for, cost-saving, and speedy cycles. It explains the way to reduce operating capital and how to house coordinating chains throughout boundaries.
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Additional resources for Inventory and Production Management in Supply Chains, Fourth Edition
Example text
This is especially true with technology such as flexible automation, electronic data interchange, supplier web portals, radio frequency identification (RFID), and scanning technology. Most firms have instances, however, in which tradeoffs among the objectives must be made. Therefore, although combined improvements are possible, the objectives should still be ranked. 14 Inventory and Production Management in Supply Chains The cost objective can be considered in one of the three categories: low, competitive, or relatively unimportant.
It is distinct from the quality objective in that the objective specifies the definition and measurable targets, and the lever specifies the means to achieve the targets. Quality management includes things such as statistical process control (SPC), Taguchi methods, quality circles, and so on. Many aspects of process improvement fall under this management lever, although process improvement leads to increased productivity as well as improved quality. It is important to note that different definitions of quality may dictate the use of different quality procedures.
The majority of this improvement came from a reduction in work-in-process (WIP) inventory, with finished goods inventories not declining significantly. S. firms between 1961 and 1994. While inventory levels as a percentage of sales have been declining, inventories have shifted downstream, closer to the customer. 2 shows the fraction of inventory held by manufacturers compared to the fraction held by wholesalers and retailers. In 1992, manufacturers held 46% of total inventory compared to 37% in 2014.