INVENTORY MODELS
One basic problem of
inventory management is to find
out the order quantity so that it
is most economical from overall operational point of view. Here that problem lies in minimizing the two conflicting costs, i.e. ordering cost and inventory carrying cost.
Inventory models help to find out the order quantity which minimizes the total costs(sum of ordering costs and inventory carrying costs).
INVENTORY MANAGEMENT:
What is inventory?
Why do we care for inventory?
What do you consider regarding inventory?
Cost of inventory
Benefits of inventory
Modelling inventory in supply chain
Types of inventory models
Understand the various aspects of maintain inventory records, that handles your two principal financial statements ie Income Statement and Balance Sheet.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
EOQ-complete, Just in Time (JIT), Lead time analysis, Inventory models (detai...Srishti Bhardwaj
SIM Unit-3
Economic order quantity (EOQ)
Derivation of EOQ formula,
reasons to modify EOQ to suit to real life situations,
Just in time,
Lead-time analysis,
Effect of long lead-time on costs and profitability,
elements of lead-time,
inventory models:
safety stocks,
fixation of re-order level and
desired inventory level,
designing of Q and P models of inventory control.
An inventory management system is when to streamline the management of inventory in business, we make the Inventory Management Systemuse of barcode scanners, mobile devices, barcode printers and desktop software. An inventory basically includes consumables, goods, stock, etc. Copy the link given below and paste it in new browser window to get more information on Inventory Management System:- www.transtutors.com/homework-help/finance/inventory-management-system.aspx
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INVENTORY MODELS
One basic problem of
inventory management is to find
out the order quantity so that it
is most economical from overall operational point of view. Here that problem lies in minimizing the two conflicting costs, i.e. ordering cost and inventory carrying cost.
Inventory models help to find out the order quantity which minimizes the total costs(sum of ordering costs and inventory carrying costs).
INVENTORY MANAGEMENT:
What is inventory?
Why do we care for inventory?
What do you consider regarding inventory?
Cost of inventory
Benefits of inventory
Modelling inventory in supply chain
Types of inventory models
Understand the various aspects of maintain inventory records, that handles your two principal financial statements ie Income Statement and Balance Sheet.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
EOQ-complete, Just in Time (JIT), Lead time analysis, Inventory models (detai...Srishti Bhardwaj
SIM Unit-3
Economic order quantity (EOQ)
Derivation of EOQ formula,
reasons to modify EOQ to suit to real life situations,
Just in time,
Lead-time analysis,
Effect of long lead-time on costs and profitability,
elements of lead-time,
inventory models:
safety stocks,
fixation of re-order level and
desired inventory level,
designing of Q and P models of inventory control.
An inventory management system is when to streamline the management of inventory in business, we make the Inventory Management Systemuse of barcode scanners, mobile devices, barcode printers and desktop software. An inventory basically includes consumables, goods, stock, etc. Copy the link given below and paste it in new browser window to get more information on Inventory Management System:- www.transtutors.com/homework-help/finance/inventory-management-system.aspx
********************************************************************************************************************************************************
"This e-Mail may contain proprietary and confidential information and is sentfor the intended recipient(s) only. If, by an addressing or transmission error,this mail has been misdirected to you, you are requested to delete this mailimmediately. You are also hereby notified that any use, any form of reproduction, dissemination, copying, disclosure, modification, distribution
and/or publication of this e-mail message,contents or ts attachment(s) other than by its intended recipient(s) is strictly prohibited. Any opinions expressed in this email are those of the individual and not necessarily of the organization. Before opening attachment(s), please scan for viruses."
********************************************************************************************************************************************************
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{margin-left:18.75pt;}
********************************************************************************************************************************************************
"This e-Mail may contain proprietary and confidential information and is sentfor the intended recipient(s) only. If, by an addressing or transmission error,this mail has been misdirected to you, you are requested to delete this mailimmediately. You are also hereby notified that any use, any form of reproduction, dissemination, copying, disclosure, modification, distribution
and/or publication of this e-mail message,contents or ts attachment(s) other than by its intended recipient(s) is strictly prohibited. Any opinions expressed in this email are those of the individual and not necessarily of the organization. Before opening attachment(s), please scan for viruses."
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Розкрито практичні навички проведення бюджету участі, отримані за результатами поїздки голови ГО "ЖИТТЯ СПОЧАТКУ" Витяганця Андрія до Польщі. Висвітлюються особливості організації і процес реалізації партиципаторного бюджету з акцентом на офіційні документи Ірпінської міської ради.
Economic Order Quantity (EOQ) is the order quantity that minimizes total inventory costs. Total Inventory Costs Budgetary techniques for inventory planning
2. A-B-C. System of inventory control
3. Economic Order Quantity (E.O.Q.) i.e., how much to purchase at one time economically
4. VED Analysis
5. Perpetual inventory system and the system of store verification
6. Fixation of Stock Level
7. Control Ratios
Inventory Control and Replacement Analysis Priyanshu
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Inventory/Material Control and management : Cost AccountingGuru Aarat
This presentation would help understand what is inventory and inventory control and management . It would also help understand various terms necessary for material controlling such as EOQ, Minimum stock , Maximum stock, buffer stock , re order level etc.
After learning about the various terms ..the techniques of material control would be discussed and presented with suitable graphs and point wise explanations
The slides contains information on Production Management according to the UHS content of Pharmaceutical Marketing and Management. It would be helpful for Pharm.D students to cover their syllabus content.
It contains detailed information on:
Material Management
Planning of Production
Batch Record Maintenance by WHO
Tools of Inventory Control
Good Manufacturing Practices under Drug Act
5P's of Production Management
Objective of Production Management
Rules and Regulations of PM
Elements of Production Management
INVENTORY MANAGEMENT
TECHNIQUES OF INVENTORY CONTROL
ECONOMIC ORDERING QUANTITY (EOQ)
Maximum Stock Level
Minimum Stock Level
Danger Level
ABC ANALYSIS FOR VALUE OF ITEMS
Perpetual Inventory System
H.M.L. Classification
F S N Analysis
V.E.D. Classification
Just in Time (JIT)
Inventory Turnover Ratio
WORKING CAPITAL MANAGEMENT
RECEIVABLES MANAGEMENT
COSTS OF MAINTAINING RECEIVABLES
BENEFITS OF MAINTAINING RECEIVABLES
FACTORS AFFECTING THE SIZE OF RECEIVABLES
CREDIT PERIOD
OPTIMUM SIZE OF RECEIVABLES
DETERMINANTS OF CREDIT POLICY
OPTIMUM CREDIT POLICY
Credit standards
Credit terms
CREDIT EVALUATION
Rai University provides high quality education for MSc, Law, Mechanical Engineering, BBA, MSc, Computer Science, Microbiology, Hospital Management, Health Management and IT Engineering.
Unit 8 - Information and Communication Technology (Paper I).pdfThiyagu K
This slides describes the basic concepts of ICT, basics of Email, Emerging Technology and Digital Initiatives in Education. This presentations aligns with the UGC Paper I syllabus.
Model Attribute Check Company Auto PropertyCeline George
In Odoo, the multi-company feature allows you to manage multiple companies within a single Odoo database instance. Each company can have its own configurations while still sharing common resources such as products, customers, and suppliers.
Synthetic Fiber Construction in lab .pptxPavel ( NSTU)
Synthetic fiber production is a fascinating and complex field that blends chemistry, engineering, and environmental science. By understanding these aspects, students can gain a comprehensive view of synthetic fiber production, its impact on society and the environment, and the potential for future innovations. Synthetic fibers play a crucial role in modern society, impacting various aspects of daily life, industry, and the environment. ynthetic fibers are integral to modern life, offering a range of benefits from cost-effectiveness and versatility to innovative applications and performance characteristics. While they pose environmental challenges, ongoing research and development aim to create more sustainable and eco-friendly alternatives. Understanding the importance of synthetic fibers helps in appreciating their role in the economy, industry, and daily life, while also emphasizing the need for sustainable practices and innovation.
How to Split Bills in the Odoo 17 POS ModuleCeline George
Bills have a main role in point of sale procedure. It will help to track sales, handling payments and giving receipts to customers. Bill splitting also has an important role in POS. For example, If some friends come together for dinner and if they want to divide the bill then it is possible by POS bill splitting. This slide will show how to split bills in odoo 17 POS.
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
Operation “Blue Star” is the only event in the history of Independent India where the state went into war with its own people. Even after about 40 years it is not clear if it was culmination of states anger over people of the region, a political game of power or start of dictatorial chapter in the democratic setup.
The people of Punjab felt alienated from main stream due to denial of their just demands during a long democratic struggle since independence. As it happen all over the word, it led to militant struggle with great loss of lives of military, police and civilian personnel. Killing of Indira Gandhi and massacre of innocent Sikhs in Delhi and other India cities was also associated with this movement.
2. Definition
• The following terms are used in this Standard with the
meanings specified:
Inventories are assets:
• (a) held for sale in the ordinary course of business;
• (b) in the process of production for such sale; or
• (c) in the form of materials or supplies to be consumed
in the production process or in the rendering of
services.
• Net realisable value is the estimated selling price in the
ordinary course of business less the estimated costs of
completion and the estimated costs necessary to make
the sale.
3. INVENTORY
• There are three basis approaches to valuing inventory
that are allowed by GAAP:
• (a) First-in, First-out (FIFO): Under FIFO, the cost of
goods sold is based upon the cost of material bought
earliest in the period, while the cost of inventory is
based upon the cost of material bought later in the
year. This results in inventory being valued close to
current replacement cost. During periods of inflation,
the use of FIFO will result in the lowest estimate of cost
of goods sold among the three approaches, and the
highest net income.
4. Cont.
• Last-in, First-out (LIFO): Under LIFO, the cost of goods
sold is based upon the cost of material bought towards
the end of the period, resulting in costs that closely
approximate current costs. The inventory, however, is
valued on the basis of the cost of materials bought
earlier in the year. During periods of inflation, the use
of LIFO will result in the highest estimate of cost of
goods sold among the three approaches, and the
lowest net income.
• Weighted Average: Under the weighted average
approach, both inventory and the cost of goods sold
are based upon the average cost of all units bought
during the period. When inventory turns over rapidly
this approach will more closely resemble FIFO than
LIFO.
5. ECONOMIC ORDER QUANTITY-(EOQ)
• RE-ORDER QUANTITY is the quantity for which order is
placed when stock reaches reorder level. by fixing this
quantity, the purchaser doesn’t have to recalculate the
quantity to be purchased each time he orders for
materials.
• Re-order quantity is known as economic order
quantity because it is the quantity which is most
economical to order. in other words EOQ is that size of
the order which gives maximum economy in
purchasing any material and ultimately contributes
towards maintaining the material at the optimum level
and at minimum cost.
6. EOQ
• While setting economic order quantity, two
types of cost should be taken in to account-
• 1-ordering cost.
• 2-cost of carrying stock.
• EOQ= 2.A.B/C.S
• A=annual consumption in units
• B=buying or ordering cost per order
• C=cost per unit
• S=storage or carrying cost as a percentage of
average inventory.
8. ABC ANALYSIS
• ABC technique is a value based system of
material control .in this technique , materials
are analysed according to their value so that
costly and more valuable materials are given
greater attention and care .all items of
materials are classified according to their
values ,which are known as A.B and C items
respectively.ABC technique is sometime called
always better controlmethod.
9. ABC
• ‘A’ items-these are high value items which
may consist of only a small percentage of the
total items .so in tight control.
• ‘B’ items-These are medium value materials
which should be under and normal control.
• ‘c’ items-these are low value material which
may represent a very large no. of items .these
materials should be under simple and
economical methods of control.
10. JUST IN TIME(JIT)PURCHASING
• Just in time purchasing is the purchase of materials
immediately before these are required for use in
production .
• According to CIMA London JIT purchasing is “matching
receipts of materials closely with usage so that raw
material inventory is reduced to near zero level.” the
purpose of JIT purchasing is to reduce stock levels to
the minimum through creating closer relationship with
suppliers and arranging frequent deliveries of smaller
quantities .it results in enormous savings in storage
cost ,material handling cost ,spoilage, obsolescence
etc.
11. JIT
• An important effect of JIT purchasing is that
with frequent purchasing the issue price is
likely to be closer to market prices .in order to
save on ordering costs ,long term agreements
may be entered in to with suppliers.
12. References
• Accounting for Managers by Dr. Sakshi
Vasudeva Galgotia Publishing Company
Chapter 27 Economics Value added and
Performance Measurement page no. 956