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L4M7, • - Coggle Diagram

- - - - a. Opening stock – Closing stock
      - b. Raw materials, work in progress (WIP) and finished goods
      - c. Considerations at each stage of the production process
      - d. Safety stock
      - e. Obsolescent and redundant stock
        
        • Definitions
        
        • Impacts and costs
        
        • Causes
        
        • How to deal
      - g. ABC classifications of stock
        
        • How to establish ABC classification
        • Implications of ABC classification
      - h. Dependent demand and independent demand items of stock
      - f. Direct and indirect supplies
  - - - • Preliminary costs
        
        • Placement costs
        
        • Post-placement costs
    - - • Costs related to the value of the goods
        • Costs related to the physical characteristics of the inventory
    - - • Using lead times and costs of holding as part of price evaluation
        
        • Strategically placed safety stock
        
        • Increase overall inventory levels
        
        • Understanding demands and seasonal/ad hoc fluctuations leading to more accurate forecasting
        
        • Sourcing decisions based on supplier performance, not just purchased prices
        
        • Using KPIs to improve supply performance and eliminate the bottlenecks
        
        • Robust supplier relationship management using agreed KPIs to drive continuous supply chain improvements
- - - - d. Only develop for larger purchases
      - e. Ensure senior management support
      - f. Cross-functional support
      - g. Teamworking – reduce data collection time
  - - - a. Policies and procedures for end-of-life assets
      - b. Decommissioning
      - c. Removal or disposal processes
    - - d. Legal aspects – waste management
      - e. Environmental factors
      - f. Triple bottom line – people, planet, profit