Question

Is there any inventory control system you would like to recommend except for the ones discussed in class? Discuss in detail the pros and cons of the recommended system.

Answer 1

ANSWER- Inventory control is something that should be front of mind for anyone in the wholesales distribution business. It is internal control. It is important to understand what you have, where it is your warehouse, and when stock is going in and out can help lower costs. It is prevented fraud. There are many inventories control system.

# ABC

# Just In Time

# Single period model

# Push system of inventery control

# Pull system

# Barcode inventory system

PUSH SYSTEM- The push system of inventery control involves Forecasting invertory. It needs to customer demands. The company have enough product on hand to complete customer orders. The companies must predict which product customer will purchase and the company also determine what quantity the customer will be purchased.The company will turn to push the product to the customer.

We can say in another words is that The Pull System is manufacturing system in which production is based on actual daily Demands like sales and where information flows from market to management. An Example of Push system is Material Requirement Planning, or MRP. The MRP is the combine the calculation for Financial, operation, and logistics planning.

THE PROS AND CONS OF PUSH SYSTEM- There are many pros and cons in push system.

THE PROS OF PUSH SYSTEM-

# It Allows to manager to manage the plans and control things

# It has high inventory.

# It requires the high knowledge of Production Time and Product Flow.

# It can leed to economies of scale in purchasing and production.

# It is make to stock

# It is Forecasting Demand

THE CONS OF PUSH SYSTEM-

# It can generate large quantities of scrap before errors are discovered.

# It requires maintenance of large and comple database.

# It requires diligence to maintain effective product flow.

# It can lead to large inventry.

THANKYOU