Successfully Planning and Controlling of Material and Inventory

The main objective of this course is to empower professionals with

• Detailed knowledge and understanding of inventory management
• The ability and confidence to independently and successfully drive inventory management for the organisation
• The adequate skill and confidence to train other professionals on inventory management
• The required attention to detail and confidence to check existing systems and introduce changes for enhanced inventory management
• The skillset and capabilities to oversee inventory management across any organisation or industry, thus increasing scope for progression and career development
• The required understanding of advanced concepts related to inventory management to make the process smarter and faster, through leaner processes and systems
• the ability and potential to provide customers with superior quality goods at the right time
• the knowledge and experience to protect the organisation against risks of damage, loss or theft of goods

CONTENT

Types of Inventory

• Raw materials
• Work-in-progress
• Finished goods
• Maintenance, repair and operating goods
• Services
• Transportation

Types of Inventory Costs

• Holding/carrying costs
• Ordering costs
• Stock-out costs

Importance of Inventory Management

• Higher profits through reduced costs and increased sales
• Improved customer service
• Reduced inventory investment
• Increased productivity
• Inventory record accuracy

Types of Inventory Management Strategies

• Material requirements planning
• Hybrid push–pull
• Supply chain management

Objectives of Inventory Planning

• Customer satisfaction
• Forecasting needs
• Controlling costs
• Successful storage

Objectives of Inventory Control

• Protection against fluctuation in demand
• Better use of men, material and machines
• Protection against fluctuations in output
• Control of stock volume
• Control of stock distribution

Inventory Control Techniques

• Set par levels
• Use first-in, first-out
• Manage relationships
• Apply contingency planning
• Follow regular auditing
• Prioritise with ABC
• Advocate accurate forecasting
• Consider drop shipping

Causes for Increase in Inventory

• Delay in order deliveries
• Quality problems
• Unexpected demand increase
• Inaccurate forecasts of lead times

Major Activities of Inventory Control

• Planning
• Procuring
• Receiving and inspecting
• Storing and issuing
• Recording
• Physical verification
• Follow-up
• Material standardization and substitution

Steps in Inventory Control

• Deciding minimum and maximum inventory limits
• Determining re-order point
• Determining re-order quantity
• ABC analysis

Factors Influencing Inventory Control

• Requirements
• Quantity in stock order
• Procurement time/Lead time
• Obsolescence
• Profitability

FOR WHOM:

Stores Purchasing and Logistics Personnel in the Public and Private Sectors

TRAINING METHODOLOGY

The training methodology combines lectures, discussions, group exercises and illustrations. Participants will gain both theoretical and practical knowledge of the topics. The emphasis is on the practical application of the topics and as a result participant will go back to the workplace.