Inventory control policies and strategies for a more profitable business
In this Video Dr. Thomas Willemain, co–Founder and SVP Research, defines and compares the three most used inventory control policies. These policies are divided into two groups, periodic review and continuous review. There is also a fourth policy called MRP logic or forecast based inventory planning which is the subject of a separate video blog that you can see here. These videos explain each policy, how they are used in practice and the pros and cons of each approach.
RECENT POSTS
Finding Your Spot on the Inventory Tradeoff Curve
This video blog holds essential insights for those working with the complexities of inventory management. The session focuses on striking the right balance within the inventory tradeoff curve, inviting viewers to understand the deep-seated importance of this equilibrium.
Why MRO Businesses Need Add-on Service Parts Planning & Inventory Software
MRO organizations exist in a wide range of industries, including public transit, electrical utilities, wastewater, hydro power, aviation, and mining. To get their work done, MRO professionals use Enterprise Asset Management (EAM) and Enterprise Resource Planning (ERP) systems. These systems are designed to do a lot of jobs. Given their features, cost, and extensive implementation requirements, there is an assumption that EAM and ERP systems can do it all. In this post, we summarize the need for add-on software that addresses specialized analytics for inventory optimization, forecasting, and service parts planning.
Head to Head: Which Service Parts Inventory Policy is Best?
Our customers have usually settled into one way to manage their service parts inventory. The professor in me would like to think that the chosen inventory policy was a reasoned choice among considered alternatives, but more likely it just sort of happened. Maybe the inventory honcho from long ago had a favorite and that choice stuck. Maybe somebody used an EAM or ERP system that offered only one choice. Perhaps there were some guesses made, based on the conditions at the time.