Purchase Solution

Category, elements of inventory and accurate forecasting

Not what you're looking for?

Ask Custom Question

O Describe elements of inventory management.
o Describe the meaning of the category of inventory and explain why it is critical to manage each element.
o Explain why accurate forecasting is so important to sales enhancement, customer satisfaction, and cost control.

Purchase this Solution

Solution Summary

Inventory category makes it possible to group inventory items into classes. For example

Solution Preview

1. Describe elements of inventory management
Following elements are considered in inventory management:
Order Quantity: This is how much material should be ordered
Order Point: When should order be placed?
Safety Stock: How much buffer stock of inventory should be maintained in hand
Purchasing: What is the method of purchasing? How are suppliers evaluated? Are purchasing practices in-line with cost of purchase?
Warehouse: Is the space utilized effectively? Are records safe?
Transaction system: Are transactions well recorded in the system? Can sale or receipt of any item be traced through transaction system?

2. Describe the meaning of the category of inventory and explain why it is critical to manage each element.
Category of inventory implies grouping of inventory items under a common head. Inventory category makes it possible to group ...

Purchase this Solution


Free BrainMass Quizzes
Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.

Organizational Behavior (OB)

The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.

Managing the Older Worker

This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce

Writing Business Plans

This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.