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Aggregate and item inventory Management (Item inventory management (When…
Aggregate and item inventory Management
Aggregate inventory management
could be used to
Determine the types of inventory to hold
Optimize the flow of inventory and provide suitable buffers between stages
Match Supply with demand
Set inventory objectives and inventory policy
Calculate inventory costs by category
Perform sales and operations planning, include demand management and production and resource planning
could be aggregated by
Demand patters
Production process
Stage of production flow
Product or SKU family or type
Distribution pattern
Relative value to organization
ABC inventory classification
Class A: 80/20
Class B:15/30
Class C:5/50
Item inventory management
When to order
How to determine order size
Relative importance of each inventory item
Inventory control procedures for individual items