inventory management of escorts company

8/7/2019 inventory management of escorts company

1/65

Inventory management

Final project report on

Inventory management system

CONDUCTED AT:

FEDERAL MOGUL GOETZE (INDIA) LIMITED,

BAHADURGARH, PATIALA

SUBMITTED TO:

Punjab Technical University Jalandhar

In the partial fulfillment of the requirement for the degree of MBA(Master of business Administration)

(2008-10)

Supervised by SUBMITTED BY

MS.KAVITA CHOPRA POOJA RANIMBA 4THSEMESTER (financ

Universities roll no-8080331707

DESH BHAGAT INSTITUTE OF MANAGEMENT AND COMPUTER SCIENCE
http://www.federal-mogul.com/en/http://www.federal-mogul.com/en/


2/65


CONTENTS_________________________________________________________________

Acknowledgement

Declaration

Certificate

An Introduction


3/65


SECTION-A: A BRIEF OVERVIEW OF FEDERAL MOGUL GOETZ

(INDIA) LIMITED, PATIALA

An Introduction to GIL

Important Products

History Milestones

Members of Management Body

A Chronological View of product Information

Social Activities

Market Share

Significance of Logo

Primary and Secondary Objectives

Vision

Mission

Important Customers

Japanese Practices of 5-S

Organizational Set up Organizational Chart


4/65


SECTION B: INTRODUCTION TO INVENTORY MANAGEMEN

AND INVENTORY MANAGEMENT IN FMGIL

Introduction to Inventory Management

Inventory Management Techniques

Inventory Management in FMGIL

Categorization

Codification

Various procedure adopted for Inventory Management in FMGIL

SECTION C: RESEARCH METHODOLOGY

Research Objectives

Research Methodology

SECTION D: FINDINGS AND SUGGESTIONS

SECTION E: BIBLIOGRAPHY


5/65


Nothing concrete can be achieved without optimum combination of inspection and perspiration. LikeAll other studies, this work is also result of the interaction of a number of minds who directly orIndirectly have contributed for completing this project. I owe a lot to many for the inspection partIt is very difficult to acknowledge so precious a dept as that of learning as that of learning as its theonly debt that is difficult to repay expect through gratitudeIt is great honor and privilege and pleasure to express deep since of gratitude to MS.KAVITACHOPRA (project guide) to placing complete faith and confidence in my ability to carry out this studand for providing me their inspiration, encouragement, help, valuable guidance, constructive criticismand constraint interest. They took personal interest in spite of their numerous commitment and busyschedule to help me complete my project .my project would not have seen the light of day withouttheir masterly guidance and overwhelming help.

It gives me tremendous pleasure in acknowledging the valuable assistance extended to me by variousPersonalities in successful completion of this project report.

I thanks all these for helping me in spite of their busy schedules.At last but not least, I extent my heartfelt gratitude to my family and friends help, cooperation, &constant encouragement for successful accomplishment of my project.

Pooja rani

CERTIFICATE


6/65


The project included in the project outlined INVENTORY MANAGEMENT SYSTEM

of FEDERAL MOGUL GOETEZE INDIA. Submitted to DESH BHAGAINSTITUTE OF MANAGEMENT OF COMPUTER SCIENCE affiliated to PUNJATECHNICAL UNIVERSITY.JALANDHAR for degree in master o busineadministration by POOJA RANI has been carried out under my supervision

This project report is her original piece of work & has not beesubmitted for any other degree at this or any other institute to best of my knowledge

PROJECT GUIDEKAVITA CHOPRA

DESH BHAGAT INSTITUTE OF MGMT &COMPUTER SCIENCEGOBINDGARH


7/65


Chapter 1

Introduction


8/65


It is good to have goodwillIt is good to have enthusiasmBut it is essential to have knowledge

Pt. J.L.NehruThe above quoted lines by the great soul Pt.J.L.Nehru rightly tell us learning is a very necessary

Part in ones life of one wants to achieve success &have proper knowledge about a particular aspect.

Thus, the objective of my project report was to get more knowledge and to go beyond the bookish thgives

Merely theoretical knowledge and to closely look at the practicality of the modern industry.

The topic of my project is INVENTORY MANAGEMENT which was meant to know

The project was carried at. FEDERAL MOGHUL GOETZE (INDIA) LIMITED, Bahadurgarh,

Aspects of inventory management like

Inventory control system, material planning and purchasing, categorization of items, valuation of

Inventory etc.

The first section of the report is company profile, which includes the introduction of organization

Group, a brief overview of FEDERAL MOGHUL GOETZE INDIA LIMITED and finance aspects a

FMGIL.


9/65


In the second section, an introduction to inventory management is given which includes

Inventory control system, material planning and purchasing, categorization of items,-Invento

management at FMGIL is been explained. The various aspects of inventory management lieconomic order quantity technique, ABC classification,

In the section-C and D, research findings are described which are used to gather the necessarinformation and suggestions regarding different aspects of inventory management are included..The last section of the report section-E includes Bibliography.


10/65


Established in 1954, Goetz (India) Limited (GIL) is joint

Venture between the Anil Nanda group and Federal Mogul, a

Global supplier of quality products and solutions to automotive

Industry. Goetz (India) Limited was established in 1954

as a joint venture with Goetze-Werke of Germany.

Goetze-Werke of Germany is now owned by Federal-

Mogul Corporation, a $6.3 billion global company and

One of the leading manufacturers of automotive

Components in the world.

Federal-Mogul Goetz (India) Limited is the largest

Manufacturer of pistons and piston rings in India.

Federal-Mogul has been creating value through innovation and leading technology for

More than 100 years. Today, the company is a key player in the global marketplace,

Serving industries that range from automotive and commercial vehicles to railroad and

Aerospace. Customers know they can rely on Federal-Moguls quality excellence in

Products, trusted brands and creative solutions.

This company started with a bold idea and over time grew into a FORTUNE500


11/65


Company with a global workforce thousands strong. The Federal-Mogul team has

Celebrated countless victories and worked hard to overcome the inevitable challenges.

The products basket besides pistons and piston rings also includes cylinder liners,

Light alloy castings and other sintered products. The company has its plants located at

Bangalore (pistons, piston rings and pins), Bhiwadi (sintered products) .The company

Has set up its first unit at Patiala (piston, rings, cylinder liners and castings). and

Started commercial production in 1957.

GIL has installed production capacity of 11 million pistons and 53 million piston

Rings.

ACQUISITION OF ESCORTS MAHLE LTD

Escorts Mahler Ltd. was a 50:50 joint venture between Escorts Ltd. & Mahle GmbH (Mahlmanufacturing Pistons & Piston Pins at Bangalore & Patiala. Pursuant to the disengagement

share purchase agreement among Escorts Ltd, Mahle & Escorts Mahle Ltd. Mahle h

decided to exit from the joint venture & sell its entire share holding in Escorts- Mahle Lt

Having decided to exit from this joint venture, also sold its entire share holding in Escort

Mahle Ltd.

In view of the fact that the businesses of the Escorts-Mahle and Goetz (India) Ltd., are close

inter-linked and have obvious financial and technical synergies due to common locations

plants, common customers, complementary products etc., it was considered advisable in th

interest of the company to acquire the share capital of the Escorts-Mahle Ltd. through t

special purpose vehicle (100% subsidiary). The new company named ESCORTS PISTON

LTD. came to existence on Nov.1, 2002.


12/65


Further, Escorts Pistons Ltd. was amalgamated with Goetz (India) Ltd. on May 26, 2003 an

w.e.f. June 2003, the name of the company is GOETZE INDIA LTD.

Ab out Federal-Mogul

Federal-Mogul is a global supplier of automotive components, modules and systems serving th

world's original equipment manufacturers and the aftermarket industry. The company utilizes

engineering and materials expertise, proprietary technology, manufacturing skill, distributi

flexibility and marketing power to deliver quality products and services, and leading brands. Federa

Mogul is focused on driving global profitable growth and creating value to satisfy customer, employ

and stakeholder expectations.

Headquartered in Southfield, Michigan, the Company, which reported sales of $6.3 billion in 200

employs 42,000 people worldwide. Federal-Mogul was founded in Detroit in 1899. The Company

principal customers include many of the worlds foremost original equipment manufacturers

automotive, light commercial, heavy-duty truck, agricultural, marine, rail and industrial vehicles an

equipment as well as the worldwide aftermarket.

Federal-Moguls products are sold under a variety of power brands, including but not limited to, AE

engine products, ANCO wipers, Champion spark plugs and wipers, Fell-Pro gaskets, Ferodo

brake pads, Glycol bearings, Goetz piston rings, Moog chassis products, National wheel-e

components, Neural pistons, Pain gaskets, Sealed Power engine products and Wagner lighti

and brake products


13/65


Product Range: Pistons, piston rings,cylinder liners,light alloycastings, sintered products

Quality Policy

Production Capacity: Piston rings 55 MillionPistons 13 Million

Turnover: April 09-March 10 INR 5124 Million

Net Profit (after tax): April 09 -March 10 INR (505) Million


14/65


GOETZE (INDIA) LIMITED commits itself to leadership in national market for all i

products and ensuring total customers satisfaction highest in industry. It commits

develop and build an image in the international market to achieve a sustained annu

growth in exports.

Policy

We shall continue to manufacture all our products in conformity with accepte

international norms/ standards.

We shall also continue to retain our leadership in development of products throug

technical know-how from our Collaborators and in-house developments.

Consistent development of human resources through training at all levels will be ou

major thrust area.

ANIL NANDA

(Chairman & Managing Director)


15/65


IMPORTANT PRODUCTS

Pistons

For their original equipment, FEDERAL MOGUL Pistons is the first choice of eve

discerning manufacturer like Telco, John Deere, Hindustan Motors, Mitsubishi Lancer, Ta

Cummins, Ashok Leyland, Mahindra, Escorts, Either, Maruti, Bajaj Auto, Fiat, Bajaj Temp

TVS, Yamaha motors, Swaraj Mazda etc.

GOETZE has state of the art test bed facilities, Design facilities for products, dies and toolin

with CAD PROE and test bed facilities.

Production Capacity: 10 million Pistons per annum

Production Range: 30 mm to 300 mm Dia

Application

Bi-Wheelers,

Cars,

Jeeps,

Tractors,


16/65


Light Commercial Vehicles,

Heavy Commercial vehicles,

High out put locomotive diesel engines

Stationary Engine

Industrial

Products suitable for

4 Stroke Engines

2 Stroke Engines

Gasoline Engines

Diesel Engines

CNG Engines

Features

Autothermic

Autothermatic

Ring Carrier / Alfin

Double C.I. Grooves

Forged

Steel cap pistons

Pistons with cooling coil

Thin Walled Pistons for Cars


17/65


Thin Groove pistons

GOETZE Piston Rings are the first preference ofOEMs & after market in

India. GOETZE has state of the art design facilities for products, tooling with CADPRO-

and test bed facilities.

Goetze is committed for Innovation, introduction of new technology and continuo

improvement in its products.

Production Capacity: 53 million Rings per annum

Range: 30mm to 300mm DIA

Goetze manufactures a wide range of piston rings for:

Bi-wheelers

Tractors

Passenger Cars & Jeeps

Commercial Vehicles (HCVs, MCVs & LCVs)

Locomotive Engines

Stationary Engines

Industrial Tx Type Expander & Cr Plated Rails


18/65


Coating on Running Surface

Chrome Ceramic plated rings (CKS)

Molybdenum Coated Rings

Plasma Filled Rings

Semi-Inlaid Rings

Ferrox Filled Rings

Chrome Plated rings

Chrome Plated Ring

Salient Features

Thin rings made from SG Iron

Asymmetric profile rings

Specially honed chrome rings

Lower sharp edge rings

Reverse torsion rings

Conformable Chrome Oil Rings

Keystone

Napier


19/65


Cylinder Liners

GOETZE manufactures wet and dry types of cylinder liners with honing, and sleeves for b

wheeler applications for our quality conscious customers.

Application

Bi-wheelers

Cars

Tractors

Light Commercial Vehicles

Heavy Commercial Vehicles

Stationary Engines

Range Production Capacity: 50 mm to 120 mm Internal Dia

Production Capacity: 0.5 million liners per annum

Features

Thin wailed

Plateau boned

With and without flanges

Coating

Phosphating


20/65


Light Metal Casting

Goetze (India) Ltd. is making a wide variety of Light Metal Castings. These include CylindBlocks, Cylinder Heads, Aluminum tube castings and Aluminum crown handles for sing

cylinder engines.

Sintered Metals Products

Goetze India Limited (Sintered Products Division), produces a wide range of sintered met

products for varied automotive applications such as valve, trains, transmission and oil pump

with technical assistance from manufacturing facilities and R&D centers of Federal mog

sintered products in U.K., France and USA.

Goetze (India) Limited (Sintered Product Division) are suppliers to most of the O.EMs in Ind

and abroad. Some of these are:-

Maruti Udyog Limited

Tata Motors

Bajaj Auto Limited

Tvs


21/65


Eicher Motors

Mahindra & Mahindra

Escorts

Swaraj Mazda Ashok Leyland

Hero Honda

Valve Train Parts

Valve seat inserts and valve guides are a special category of sintered components for ne

generation engines. Goetze India limited (Sintered Product Division) uses latest technology

processes along with specially sourced powder Little wonder that auto majors manufacturin

engines for varied applications such as two/three wheelers, passenger cars, LCV MCVs, HC

and tractors prefer GIL Sintered Products.

Synchronizer Hubs

Sintered Synchronizer Hubs offer a very cost effective alternative to conventional hubs and

the same time, meet the ever-increasing performance requirement of automotive designers.

Oil Pump Rotor & Gears

Sintered Oil pump rotor & gears are one of the widest used sintered application in a

automotive industries. Goetze India Limited (Sintered Products Division) with support fro

Federal Mogul Sintered Products R&D centers has developed its own capabilities to desig

and manufacture oil pump motors.


22/65


HISTORY MILESTONES

1954 Incorporated as a JV with Goetze Werke

1957 Ring & liner production Patiala

1958 Piston production as escorts(Automotive Division)(Collaboration:Mahle)

Patiala

1960Cast iron / Forged piston productionstarted

Patiala

1968 Pins / ring carrier production started Patiala

1977 Piston / ring production started Bangalore

1982 Steel rings / Large bore locomotivepiston

Bangalore

1985 Light alloy products Patiala

1989 Auto thermic pistons production Bangalore

1990 Moly coated / IKA / chrome oil ringsPatiala

1992Large bore rings / pistons for battletanks

Bangalore

1994 Composite pistons / new ring foundryBangalore

1996 Escorts (Automotive Division) hived off into joint venture with M/S Mahle,Germany

1997 Goetze TP (India) Ltd. - Manufacturer of steel rings

2001 Merger ofFederal-Mogul sintered products Ltd. with Goetze (India) Ltd.

2003 Merger of Escorts pistons activities with Goetze (India) Ltd.

2004 Introduction ofchrome-ceramic rings

2004 Technical collaboration for pistons with Federal-Mogul Corporation

2006 Majority stakeholding acquisition by Federal-Mogul Corporation

2006 Name changed "Goetze (India) Limited" to "Federal-Mogul Goetze (India)

Limited"

MEMBERS OF


23/65


MANAGEMENT BODY

Chairman (Non-Executive) Mr. Charles B. Grant

Vice Chairman, Managing Director& C.E.O.

Mr. Arun Anand

Director Mr. Rainer Jueckstock

Director Mr. Charles H. Polzin

Director Mr. Mukul GuptaDirector Mr. Vishvjeet Kanwarpal

Management

Managing Director and Chief Executive Officer Mr. Arun Anand

Corporate Leaders

Executive Director - Sales, Marketing & Applications Mr. Mohan Narayanan

a.Original Equip. Sales Mr. Yogesh Choudhary

b.Aftermarket & Sales Mr. Sanjeev Singhc.Exports Mr. G. S. Arshi

Executive Director - Manufacturing Operations Mr. Andreas Kolf

a.Bangalore Plant

ManagerMr. K. Saravanan

b.Patiala Plant Manager Mr. Sunit Kapur

c.Bhiwadi Plant

ManagerMr. A. R. Ahuja

Director - Finance & Secretariat Mr. Rajan Luthra

Director - Plant Finance Mr. Rustin Murdock

Director Projects Mr. Rakesh Anand

Director Procurements Mr. A. R. Ahuja

CHRONOLOGICAL VIEW OF PRODUCT INTRODUCTION AT

GOETZE.


24/65


1954 Piston Rings and Cylinder Liners

1960 Pistons

1961 Assembly of Tractors

1962 Motorcycles, Railways Couplers

1963 Automatic Shock Absorbers

1965 Escorts Tractors

1969 Ford Tractors

1971 Industrial and Construction Equipments

1979 Excavator Loaders

1981 Yamaha RX-100, 100 CC Motorcycles

1985 Electronic PABX

1991 Harvester Combines

1992 VSAT Satellite Communication Systems

1993 Mobile Communications

2008 Forklift Trucks


25/65


Company MARKET SHARE OF PISTON

MANUFACTURES IN INDIA

Company Name Market Share (%)

Goetze 36.5

Perfect Circle 12.0

IP Ring 16.5

Shriram Piston 22.5

SAMKRG Piston 9.0

Menon Piston 3.5

36.5

1216.5

22.5

9 3.5

Goetze

Perfect Circle

IP Rings

Shriram Piston

SAMKRG Piston

Menon Piston


26/65


EXPORT DESTINATION

Dubai

Bangladesh

Singapore

Egypt

Mauritius

U.S.A

Germany

Nepal

Sri Lanka

COLLABORATIONS

A. GERMANY

Faun

Class

B. JAPAN

Yamaha

Kayaka

Mikni


27/65


C. UK

JCB (Goetze)

Ford

D. USA

HUGHES

E. FRANCE

Bosch

Dynapal

SIGNIFICANCE OF LOGO


28/65


The logo of Federal Mogul Goetz (India) Limited has been prepared with certa

objective in mind and is symbolic in more than one way.

So, overall, the logo represents GILs concern for Workmanship, Quality and Technology.


29/65


Vision of the company

To be one of the worldss leading automotive solutionsprovider

Mission of the Company

Our company has committed to increase shareholder value by aggressively pursuing grow

and profit opportunities by providing irmovative diverse and high performance products an

solutions to meet our customers needs. We shall provide our work force with an environme

that develops teamwork, continuous learning and Improvements that rewards good performer

We wall support our products with 11 technical expertises at the customers end. W. Value th

Environment and the community and would lice to build better ftiture for our children..For o

company customer are king and our aim is to satisfy the need of the customers. In short

Steadily moving towards leadership with piston with vision strategy seein

it as the best way to leaders in business

Certifications Achieved

The Patiala and Bangalore Plant are both ISO 9001 I QS 9000 certified and under ISO I T

16949 and ISO 14001 certification. Bhiwadi Plant is also having the certification of ISO / T

16949/ISO 14000 certified.


30/65


IMPORTANT CUSTOMERS

Ashok Leyland Ltd.

BajajAutoLtd

Bajaj Tempo Ltd

Birla Yamaha Ltd.

Eicher Motors Ltd.

Elgi Equipments Ltd.

Escorts Ltd. (Auto Suspension Division)

Escorts Ltd. (Farmtrac Division)

Escorts Ltd. (Tractor Division)

Frick India Ltd.

Hero Honda Ltd.

Hero Motorcycles & Scooter Ltd.

Hero Motors Ltd.

Hindustan Motors Ltd.

Honda Seil Power Products Ltd.

Indian Railways

International Tractors Ltd.

Kinetic Engg. Ltd.

Kinetic Motors India Ltd.


31/65


Kirloskar Oil Engines Ltd.

JAPANESE PRACTICE OF 5-S

Goetze has adopted the Japanese Practice of 5s.

This enables the plant to have better working conditions and also increase work efficiency.

copy of it also displayed at each shop and depth to motivate the employee towards health

work environment.

Meaning and benefits of 5S system are as follows

1. SEIRI: It stands for Sorting

Take out necessary items and suitably dispose with them

Benefits:

1. Effective Space Utilization

2. Stop Material from deteroiting or getting damaged

3. Reduce wastage and searching items

2. SEITON: It stands for Set in Order

Arrange. all necessary items in a proper order so that they can be easily picked up for use

Benefits:

1. Reduce preparation and machine setting and machine setting timings.

2. Reduce time in locating or waiting for Tool Parts and Machines.

3.SIIESO: It stands for Shine/Completely Clean

Clean your workplace completely so that there is no dust anywhere.


32/65


Benefits:

1. Promotes Orderly and Safe Working Environment

2. Reduces Breakdown and Accidents.

3. SEIKETSU: It stands for Standardize

Maintain a high standard of house keeping and work place organizational at all times

Benefits:

1. Quick Response through Visual Management

2. Create a maintenance system of House keeping for all the times.

4. SHITSUKE: It stands for Self Discipline Attitude

Train People to follow Good House Keeping Discipline Independently

Benefits:

1. Self Di scipline

2. Improves Industrial Safety

3. Creates Healthy Attitude and Habits

Advantages of 5S

Healthy Working Environment

Improves Work Efficiency

Producting Better Quality Products and Higher Productivity

Cutting Cost Down

Ensuring Delivery on time

Safe Working


33/65


High Morale and Better Life

ORGANISATION SET UP

The organizational set up of the following departments is studied in detail:

1. Finance Department

2. Personnel Department

3. Purchase and Store Department4. Production Department

FINANCE DEPARTMENT

D.G.M. (Finance), Patiala who is directly responsible to Plant Head (Finance and Accounts), one

the most reputed Functional Department in GOETZE (INDIA) LTD. C.G.M. manage the Departme

and under him there are two managers, one is Finance Manager and other is Costing Manager. Th

Finance Manager is assisted by two supervisors one of these is responsible for cash and bank balanc

and other is responsible for bills payable. Each supervisor is given two or three assistants to wo

under him.

The amount of investment to be put in current assets like cash in hand, bank balance, loans an

advances, inventories, accrued expenses, dividends payable etc. all are decided by Finan

Department.

The realization of cash for the purpose of raw materials components and spares to pay wages an

salaries to incur day to day expenses and overhead costs, to meet selling costs to provide cred

facilities to customers and to maintain inventories is also the function of this department.


34/65

Inventory managementThe formulation of policies with regard to profitability risk and liquidity, decisions about comparis

and level of current assets and liabilities, formulation of production policy to keep the production

steady by accumulating inventories, formulation and execution of credit policy is also the function

Finance Department.

This Department is responsible for handling transaction relating to purchase of raw material as well

accounts relating to sales. It is also concerned with payment of all expenses incurred by the compan

like purchase of raw material, electricity bills, repairs etc. It is also concerned with valuation

various costs relating to inventories.

It deals with determination of monthly wages, salaries of employees, fringe benefits of retiremen

provident funds deduction, incentives, bonus and all the rewards, which the employees get f

rendering their services to the company

Functions of Finance Department

Cash Flow:

The plant is preparing C.F. statements, to be conveyed to HO. These include sources as well

application of funds. Similarly applications of funds related to the salary, payment to suppliers. Maj

expenses (like Electricity, Telephone Bills, Excise duty and other personal & sales & administratio

expenses).

Costing:

The costing is being done for all the products manufactured at the plant. These relate to Piston, Rin

Cylinder Liners and Light Alloy Products. The Historical base is being followed for costing purposes

Consumption:

Every item being received in the plant for consumption. Input is being accounted for at the plant. Th

ledgers are maintained for every receipt and issue.


35/65


ORGANIZATIONAL CHART OF FINANCE DEPARTMENT

Mr. Ajay Singla(Manager Finance)

Costing, Fixedassets & CWIP

GeneralAccounting

MIS Reporting Store A/cing &Bills Payable

Mr. S P SinghChopra

Mr. Inderjit Singh

Mr. ManmohanSingh

Mr. BharatBhushan

Mr. Sarbjit Singh

Mr. O P Ghai

Mr. Ranjit Singh

Mr. RabinderSingh

Mr. HarinathSingh

Mr. RameshKumar

Mr. AshokKumar

Mr. RavinderKumar

Mr. SureshKumar

Mr. RajneshUppal

Mr. Ajay Jind


36/65


PERSONNEL DEPARTMENT

Personnel department advises the management on all matters relating to personnel administration. Th

top management takes into account its advice before arriving at final decisions on personnel an

administrative matters. Personnel Policies in GOETZE (INDIA) LIMITED have been divided in

three parts:

a. PERSONNEL FUNCTIONS to encourage the adoption and utilization of lat

methods and techniques in areas of manpower planning and development and keeping avenu

of promotion open to employees.

b. PROVISION OF COMMUNICATION, TRAINING AND WELFAR

MEASURES, EMPLOYEE COMMUNICATION so that employees contributes their best companys objectives and also get opportunities for advancement and self-development.

c. INDUSTRIAL RELATIONS between employer and employee so as to promo

satisfactory relations by providing channels for upward and downward communication an

establishing systematicprocedure for redress.

PURHCASE AND STORE DEPARTMENT

Purchase and Store are two Departments, which go hand in hand. It is very essential that there shou

be proper synchronization between Purchase Department and Store Department.

In GOETZE (INDIA) LIMITED, the main responsibility of Purchase Department is to receive orde

from other Departments, do the market survey, list the potential sellers and the rates, choose the be

and go ahead with purchase. The purchase order is placed only with approved contractors. Th

Purchase Department scrutinize the following aspects:

a) Quality and Technical specifications

b) Delivery


37/65

Inventory managementc) Prices

Once the purchase order has been placed, it is sent to stores where the store gets ready to receive t

incoming material. When the material is received, a notification is sent to the Finance Department.

Stores deal with an array of material, which can be divided into:

a) Raw materials

b) Components

c) Standard items or patent items

d) Miscellaneous items

PRODUCTION DEPARTMENT

The Department is responsible for production of various items fixed on basis of production budgewhich includes:

a) Raw material budget

b) Labor budget

c) Plant utilization budget

GOETZE (INDIA) LIMITED turns out a wide variety of Piston Rings for Bi-Wheelers, Heavy Lig

Commercial Vehicles and Motor Cars etc. The Company has maintained steady growth in Pisto

Rings in view of ready acceptability of its products. Form modes production of 22517 rings in 1957

touched a figure of 28 million in 2009-10


38/65


INTRODUCTION TO INVENTORYMANAGEMENT

Inventory management refers to the process of managing the stocks of finished products,

Semi-finished products and raw materials by a firm. Inventory management, if done

Properly, can bring down costs and increase the revenue of a firm. How much one should

Invest in inventory management? The answer to this question depends on the volume and

Value of inventory as a percentage of the total assets of a firm.

Inventory Management involves the control of assets being produced for the

purposes of sale in the normal course of the company's operations. The goal of

effective inventory management is to minimize the total costs - direct and

indirect - that are associated with holding inventories. However, the importance

of inventory management to the company depends upon the extent of investment in

inventory.

The task of inventory planning can be highly complex in manufacturing environments. At the

same time, it rests on fundamental principles. The system used for inventory must tie into the

operations of the firm. Inventory planning and management must be responsive to the needs

of the firm. The firm should design systems, including reports that allow it to make proper

business decisions

The.

Inventory Management system and the Inventory Control Process provides informatioto


39/65


Efficiently manage the flow of materials; effectively utilize people and equipmencoordinate

internal activities, and communicate with customers. Inventory Management and thactivities of

Inventory Control do not make decisions or manage operations; they provide thinformation to

Managers who make more accurate and timely decisions to manage their operations.

The basic building blocks for the Inventory Management system and Inventory Contractivities ar

Sales Forecasting or Demand Management

Sales and Operations Planning

Production Planning

Material Requirements Planning

Inventory Reduction

TYPES OF INVENTORY

Four kinds of inventories may be identified:

1. Raw materials Inventory: This consists of basic materials that have not yet been

Committed to production in a manufacturing firm. Raw materials that are purchased from

firms to be used in the firm's production operations range from iron ore awaiting processing


40/65

Inventory managementinto steel to electronic components to be incorporated into stereo amplifiers. The purpose of

maintaining raw material inventory is to uncouple the production function from the purchasing

function so that delays in shipment of raw materials do not cause production delays.

2. Stores and Spares: This category includes those products, which are accessories to the

main products produced for the purpose of sale. Examples of stores and spares items are

bolts, nuts, clamps, screws etc. These spare parts are usually bought from outside or some

times they are manufactured in the company also.

3. Work-in-Process Inventory: This category includes those materials that have been

committed to the production process but have not been completed. The more complex and

lengthy the production process, the larger will be the investment in work-in-process inventory.

Its purpose is to uncouple the various operations in the production process so that machine

failures and work stoppages in one operation will not affect the other operations.

4. Finished Goods Inventory: These are completed products awaiting sale. The purpose of

finished goods inventory is to uncouple the productions and sales functions so that it no

longer is necessary to produce the goods before a sale can occur.

Methods adopted to value raw material inventory control

The following methods can be adopted to value the raw material:

First-In-First-Out (FIFO): When a firm adopts the FIFO method to price its raw material, the


41/65

Inventory managementissue of material from the stores will be in the order which it was received. Thus the pricing

will be based on the cost of material that was obtained first.

Last-In-First-Out (LIFO): In the LIFO method, the material issued will be priced based on

the material that has been purchased recently.

Weighted Average Cost Method: The pricing of materials will be alone on weighted average

basis (weights will be given based on the quantity).

Standard Price Method: Material is priced based on a standard cost, which is

predetermined. When the material is purchased the stock account will be debited with the

standard price. The difference between the purchase price and the standard price will be

carried into a variance account.

Replacement / Current Price Method: In this method material is priced at the value that is

realizable at the time of the issue.

INVENTORY MANAGEMENT TECHNIQUES

While the total ordering costs can be decreased by increasing the size of order, the carrying

costs increase with the increase in order size indicating the need for a proper balancing of

these two types of costs behaving in opposite directions with changes in order size.

Again, if a company wants to avert stock-out costs it may have to maintain larger inventories

of materials and finished goods, which will result in higher carrying costs. Here also proper

balancing of the costs becomes important.


42/65

Inventory managementThus, the importance of effective inventory management is directly related to the size of the

investment in inventory. To manage its inventories effectively, a firm should use a systems

approach to inventory management. A systems approach considers in a single model all the

factors that affect the inventory.

A system for effective inventory management involves three subsystems namely:

1.economic order quantity

2. reorder point

3. stock level

ECONOMIC ORDER QUANTITY

The economic order quantity (EOQ) refers to the optimal order size that will result in the

lowest total of order and carrying costs for an item of inventory given its expected usage,

carrying costs and ordering cost. By calculating an economic order quantity, the firm attempts

to determine the order size that will minimize the total inventory costs.

Total inventory cost = Ordering cost + Carrying cost

Total ordering costs = Number of orders x Cost per order

= $ U / Q X F

Where
http://www.azinventorymanagement.com/economic-order-quantity.htmhttp://www.azinventorymanagement.com/reorder-point.htmhttp://www.azinventorymanagement.com/stock-level-system.htmhttp://www.azinventorymanagement.com/economic-order-quantity.htmhttp://www.azinventorymanagement.com/reorder-point.htmhttp://www.azinventorymanagement.com/stock-level-system.htm


43/65

Inventory managementU = Annual usageQ = Quantity orderedF = Fixed cost per orderThe total carrying costs = Average level of inventory x Price per unit x Carrying cost

REORDER POINT FORMULA

One can adopt a much simpler formula which gives reasonably reliable results in calculating

at what point in the level of inventory a reorder has to be placed for replenishment of stock.

The formula along with its application is given below, using the notation developed earlier.

Reorder point = S x L + F ( S x Rx L)

Where

S = Usage in unitsL = Lead time in daysR = Average number of units per orderF = Stock out acceptance factor

The stock-out acceptance factor, `F', depends on the stock-out percentage rate specified and

the probability distribution of usage (which is assumed to follow a Poisson distribution). For

any specified acceptable stockout percentage the value of `F' can be obtained from the figure

presented below.


44/65

Inventory managementSTOCK-LEVEL SUBSYSTEM

This stock level subsystem keeps track of the goods held by the firm, the issuance of goods,

and the arrival of orders. It maintains records of the current level of inventory. For any period

of time, the current level is calculated by taking the beginning inventory, adding the inventory

received, and subtracting the cost of goods sold. Whenever this subsystem reports that an

item is at or below the reorder-point level, the firm will begin to place an order for the item

SAFETY STOCK

Once again in real life situations one rarely comes across lead times and usage rates that

are known with certainty. When usage rate and/or lead time vary, then the reorder level

should naturally be at a level high enough to cater to the production needs during the

procurement period and also to provide some measure of safety for at least partially

neutralizing the degree of uncertainty.

The question will naturally arise as to the magnitude of safety stock. There is no specific

answer to this question.

However, it depends, inter alia, upon the degree of uncertainty surrounding the usage rate

and lead-time. It is possible to a certain extent to quantify the values that usage rate and

lead-time can take along with the corresponding chances of occurrence, known as

probabilities. These probabilities can be ascertained based on previous experiences and/or


45/65

Inventory managementthe judgmental ability of astute executives. Based on the above values and estimates of

stock-out costs and carrying costs of inventory it is possible to work out the total cost

associated with different levels of safety stock.

Kanban

Another highly effective way of cutting down on WIP is through the use of kanban, Japanese for sign

Kanban is a tagging system that is essentially a communication system designed to inform production

across the entire plant about what to do and when to do it. Essentially this is a system that tells peopl

when to produce what

ABC Procedure for Categorizing of Inventory

The general procedure for categorization of items into `A', `B' and `C' groups is briefly

outlined below:

All the items of inventory are to be ranked in the descending order of their annual usage

value.

The cumulative totals of annual usage values of these items along with their percentages to


46/65

Inventory managementthe total annual usage value are to be noted alongside.

The cumulative percentage of items to the total number of items is also to be recorded in

another column.

An approximate categorization of items into A, B, and C groups can be made by comparing

the cumulative percentage of items with the cumulative percentage of the corresponding

usage values.

Advantages of the ABC Inventory System

The advantages of the ABC system are as follows:

1. It ensures closer control on costly items in which a large amount of capital has been

invested.

2. It helps in developing a scientific method of controlling inventories, Clerical costs are

reduced and stock is maintained at optimum level.

3. It helps in achieving the main objective of inventory control at minimum cost.

4.The stock turnover rate can be maintained at comparatively higher level through .

scientific control of inventories.

The system of ABC analysis suffers from a serious limitation. The system analyses the items


47/65

Inventory managementaccording to their value and not according to their importance in the production process. It

may, therefore, sometimes create difficult problems. For example, an item of inventory may

not be very costly and hence it may have been put in category C. However, the item may be

very important to the production process because of its scarcity. Such an item as a matter of

fact requires the utmost attention of the management though it is not advisable to do so as

per the system of ABC analysis. Hence, the system of ABC analysis should not be followed

blindly.

INVENTORY MANAGEMENT IN FEDERAL MOGUL GOETZE INDIA LTD

ABC Analysis is being used to manage the inventories. A category items contain high value items an

important material directly linked with production. It includes one product i.e. CIMSTAR MB62C.

Category includes items, which are directly linked with production but are having less value th

items. It includes three products i.e. SERVO SYSTEM 68% HYPSIN EP-68, Cutting oil, Arc ligh

Category C includes items products such as mobile oil, kerosene oil, power oil, servo system 12

servo CUS, quenching oil, preventing oil etc.

In stores computers are being used to store maximum, minimum, re-order levels of each item

Recently the firm has started using JIT technique.

The purchases of FMGIL are centralized and authority lies with the purchase departmen

Major purchase is done by head office but local purchase is also for certain items.


48/65

Inventory managementProcedure of acquiring inventories starts with the receipt of material. When the mater

reaches the main gate it needs to be inspected and only after inspection of invoices materials is sent

the store department. Then the material is inspected and is approved or rejected as the case may be.

MATERIAL PLANNING AND PURCHASING

Purchasing in FMGIL is centralized and authority lies with purchase department. No body

allowed to make purchase himself, directly. For purchasing purpose a meeting is held at held office

which planning is done on basis of last years consumption. After the raw material planning has bee

made, purchase is done by the head office itself and planning report is sent to sub-offices. Althoug

major purchase is done by head office but local purchase can also be done for certain items.

The items, which can be locally purchased, are divided into two types:-

For local purchase as well as for head office purchase levels have been fixed as:-

RECEIPT OF MATERIAL

As the material reaches the main gate of the factory, security person puts stamp on backside

invoice or challan. After this the material reaches the Store department

INSPECTION OF MATERIAL

TYPE 4 TYE 5

(Locally purchasable) (Head office purchase stock items)


49/65

Inventory managementOnce the material has been received by store then it is the duty of either inspection departme

or store department to inspect the material. Here it is checked out that the material is according

specification and the material quantity is neither greater nor lesser in number then the order placed if

is according to specification, then GIR is accepted.

According to the type of material, either physical verification is done or composition

material received is checked out. In physical verification, the quantity of material, the working order

material and specification fulfillment is taken into account e.g. for electronic goods. For checkin

composition of the material e.g. in case of alloy or sand it is seen out, whether the received materi

has proper composition as per requirements of the company.

ISSUE OF MATERIAL

In FMGIL the material is issued for two purposes:-

1. Direct purpose : for manufacturing of components

2. Indirect : generally in the nature of store and spares, tools etc.

Store department has two types of items:-

1. Stock

2. Non-stock

The material asked by various departments can either be stock items or non-stock items. If

department has to ask for stock items it prepares material indents form of the items required in whic

description of material is thoroughly provided. Four copies of indents are prepared Blue, Re

Yellow and White. The department keeps white copy, itself for record and other three copies are se


50/65

Inventory managementto store department here, Red copy is kept by store for record purposes. Blue copy is sent to Finan

Department for evaluation while Yellow copy is sent to Purchase department.

If the material is being purchased for first time, then purchase department, asks for quotatio

from the supplier. According to these quotations, the purchase department Purchase the material. If

is routine material, then the material can be purchased from routine supplier without quotations. Stoc

items required by various departments from the store are issued as such and no yellow copy is sent

purchase department but both red and yellow copy are kept by store department itself. While blue cop

is definitely sent to finance department for evaluation of stock item.

CLASSIFICATIONS OF INVENTORY

FMGIL inventory can be classified under following three main categories:-

1. Raw material

2. Work in progress

3. Finished goods

The raw material inventory can be further classified and maintained under following tw

headings:-

1. Stores and spares

2. Tools, jigs and dies

CATEGORISATION OF ITEMS


51/65

Inventory managementIn FMGIL categorization of items is done according to the following categories:-

1. ABC CLASSIFICATION

Under this system items are classified according to their value and usage rate. An item consis

of items having maximum value but minimum consumption. B items consist of items of modera

value and moderate consumption. C item consists of items having minimum value and maximu

consumption.

ITEM NO. OF ITEMS IN % AGE APPROXIMATE VALUE

A 10% 70%

B 20% 20%

C 70% 10%

2. XYZ CLASSIFICATION

This classification is based on the value of inventory at the end of a given period of tim

normally closing date of a financial year. X items are those whose inventory value is high, Y items a

those whose inventory value is medium and Z items are those whose inventory value is low

minimum.

3. SDE CLASSIFICATION (Scarce, Difficult and Easy Classification)

This classification is based on the problems that a company may face while purchasing of th

material from the market due to short supply or unavailability. Scarce items are those, which are

short supply in the market and are not easily available. Difficult items may be termed as those, whi

are not scarce but are difficult to arrange and delivery period is long. Easy items are normal standa

items stored by vendors and are routinely supplied as per orders.

4. GOLF CLASSIFICATION (Govt., Open, Local, Foreign Classification)


52/65

Inventory managementThis classification is based on the source from which the suppliers are to be availed. Some

the items may be government controlled or available through government-canalized agencies. Som

items are easily available at central and local level and some items may be imported from oth

countries.

5. FSN CLASSIFICATION

This classification is based on the pattern of movement of items i.e. issue from stores. Fa

moving, slow moving and non-moving items. Fast moving items are regular items and are to be ke

mostly for regular supply.

CODIFICATION OF ITEMS

In FMGIL there are many items of inventory, due to such large number, codes have be

assigned to every item. However code assigned to every item follows a specification order, so th

easy identification of every item can be done. Emphasis on codification is considered very mu

essential in FMGIL.

51. RAW MATERIAL

52. FOUNDARY FLUXES, OILS AND LUBRICANTS

53. PACKING MATERIALS

54. GRINDING/ABRASIVE MATERIALS

55. DRILL

56. CUTTER

57. CARBIDE TOOLS58. MSSS/BRASS/PHOSPHOROUS MATERIALS

60. BEARING

61. V-BLT

62. CIVIL AND PIPE FITTING MATERIAL

63. RUBBER AND AEHED PRODUCTS

64. NUTS, BOLTS, WASHERS & SPACERS

65. HAND/INSPECTION TOOLS


53/65


66. WELDING AND FIRE FIGHTING MATERIAL

67. WELFARE ITEMS

68. CASTINGS AND FABRICATORS

VARIOUS PROCEDURES ADOPTED FOR INVENTOR

MANAGEMENT IN FMGIL

PROCEDURE FOR CONTINUOUS IMPROVEMENT

Objective:-

To define procedure for continuous improvement.

Scope:- Stores

Responsibility

Head Stores

Supervisor Stores

Procedure:-

1) Continuous improvement is adopted across the board in stories.

2) Suitable areas of continuous improvement and techniques shall be identified by He

Stores and listed down in continuous Improvement Plan. Head stores shall prioritize projec

and appropriate actions shall be initiated.

3) Improvement/development observed in one area is suitably adopted in other areas.

4) Improvement activities shall be managed by using following steps:-

i. Deciding objectives for improvement.

ii. Team information.

iii. Action identification.

iv. System implementation, verification, documentation and training.


54/65

Inventory management5) The progress on continuous improvement projects shall be reviewed duri

Management Review Meeting. The continuous improvement plan shall be reviewed a

updated, if necessary.

6) Results of various functional continuous improvement activities shall be communicat

and displayed in respective areas.

References:-

Continuous Improvement Plan

Management Review Report

PROCEDURE FOR INTRA-DEPARTMENT TRANSFER

Objective:-

To define the procedure for intra-plant transfer.

Scope:-

Items as per initial material list for purchase Patiala Plant and initial materialist for Head Offi

materials.

Responsibility:-

Chief Head Office materials

Head Incoming material

Head Laboratory

Head Stores

Head Purchase-Patiala Plant

Head User Department


55/65


56/65


1. To know the functioning of the inventories and understand the system of procurement of

material , its receipt , inspection and its issuing.

2 . To understand the accounting and valuation of raw material , work-in-

progress and finished goods.

3 . To analyze the inventory control techniques used by company and

their techniques .

4 . To study the performance of the company in relation to inventories

and thus provide suggestions if any on the basis of analysis and

interpretataion of the data .

B : Research Methodology

The methodology used for the collection of data is of secondary type which is being explained here

SECONDARY DATA

It is mainly based upon annual reports , magazines , office reports and various published documents

FEDERAL MOGUL GOETZE INDIA LTD patiala.

Data has been collected for five years (i.e. financial year 2005-2010) , then compiled and thereafter

statistical analysis of the information has been done, thereafter various ratios relating to the inventori

has been calculated and tables showing variation in the inventories for five years have been made.


57/65


SWOT ANALYSIS

Previous years were challenging with the companys business constrained by unfavorable econom

conditions. The slow down in the industrial production, in particular in the automobile industry, had a

adverse impact on the companys business.

S - STRENGTHS

W - WEAKNESSES


58/65

Inventory managementO - OPPORTUNITIES

T - THREATS

1. STRENGTHS

The major strength of the company is that it is well established. The relationship betwe

management and employees is very good, as in agreement between management and employees w

signed on March 2010. Due to this agreement there is no fear of strikes and lockouts in the company.

Few competitors

Profit making and reputed firm

Availability of skilled and cheap labour

Technical efficiency

Operating efficiency

2. WEAKNESSES

The major weakness of the plant is that it does not have Marketing Department and it has

depend totally on Head Officer for marketing activities.

Low return of capital employed.

Problem of timely availability of raw material.

Facing some infrastructure problems.

3. OPPORTUNITIES

With the implementation of EURO norms, there is need for high strength material rings whe

realizations are much better as compared to standard rings. In this high technology value segment t

unorganized sector cannot compete and thus there is tremendous opportunity for the company

increase domestic competition. There are increasing opportunities for exports to.

High export opportunity.


59/65


Scope for further expansion in production of existing products and some new products h

increased.

4. THREATS

The company faces normal market competitions form other manufacturers and the unorganiz

sector especially for the low value segment of industrial and bi-wheeler 2 stroke rings.

With the ongoing liberation of imports and deregulation of Indian economy, there is a maj

threat from cheaper imports, particularly from China.

FINDINGS

After carrying out in depth study of the system and procedure of inventory management bein

followed at FMGIL.

It has been found that in spite of high inventory levels so much care is taken off. There h

been a tremendous increase in the inventory levels.


60/65

Inventory managementNo consideration is given to maintain maximum and minimum levels of inventory. Econom

Order Quantity (EOQ) system is not followed properly in Escorts. Among ABC class items no speci

care has been take of B and C class items although in absolute value the amount to crores

investments. Crores of investment is becoming slow moving every year, which is turn is becomin

non-moving whose investment is already very high.

But a good thing is found in the form of MIS reports prepared on regular basis by Finan

Department to manage inventory level and review of slow and non moving items by all concern

agencies on annual basis.


61/65


62/65


Standardization of tools can help to eliminate reluctant inventories through reduction

inventory levels, which are increasing due to frequent changes in models of pistons etc.

Problems of past should be kept under consideration and inventory holding norms of we

established items should be thoroughly received, while fixing the new inventory norms.

Theoretically maintained levels should also be followed practically to stop inventory crossin

This will make reduction in inventory levels possible.

The company needs to improve its inventory turnover ratio ensuring change of inventories

sell at faster rate.

The company should try to increase its production by bringing in new technology and reducin

its cost.

The concern should try to pay more attention on raw material conversion period because b

this they can reduce the duration of manufacturing cycle for this they should try to reduce the ra

material inventory and also by increasing production.

In store and spares a part of inventory, there are certain items, which are slow moving, an

there are also certain items which are non moving. The firm should reduce the investment in the

items as the funds blocks in these can be efficiently utilized.

MRIR preparations may be restricted to 8 to 15 days. So that adverse insurance coverage an

over stocking implications could be avoided.

Earlier company was using wood boxes for packing finished goods, which were quite safe, an

a proper transportation. But now the company is using cardboard boxes for packing yet company h

reduced the weight of packing material per box. But quantity of rejected finished material in invento

has increased. So company should give attention to improve packing material to maintain

reputation and reducing cost of inventory.


63/65


BIBLIOGRAPHY

INTERNET WEBSITES:

Foundational work

http://www.inventory management.com/inventory_management_blog.html

http://www.inventorymanagementreview.org/2005/10/different_inventory.html

http://www.inventorymanagement.com/labels/inventorymanagement.html

Comprehensive overview

http://www.sageMAS_90_200_inventory_spec.pdf/22586.pdf

http://www.sba.gov/library/pubs/mp_22pdf

http://www.SKUflow.com/refferals.asp

http://www.inventorymanagement.review.org/2005/10/cutting _down_on.html

http://www.azinventory management.com/working_capital.html http://www.azinventorymanagement.com/planning.html

http://www.azinventorymanagement.com/business_pages.html

http://www.answers.com/stock keeping units/reference.jsp

Theories

Donald W.Dobler, David N. Burt, (2005), purchasing and MaterialsManagement,Inventory Management, pp -Z440-460.
http://www.inventorymanagementreview.org/2005/10/different_inventory.htmlhttp://www.inventorymanagementreview.org/2005/10/different_inventory.htmlhttp://www.inventorymanagement.com/labels/inventorymanagement.htmlhttp://www.inventorymanagement.com/labels/inventorymanagement.htmlhttp://www.sba.gov/library/pubs/mp_22pdfhttp://www.sba.gov/library/pubs/mp_22pdfhttp://www.skuflow.com/refferals.asphttp://www.skuflow.com/refferals.asphttp://www.inventorymanagement.review.org/2005/10/cutting%20_down_on.htmlhttp://www.inventorymanagement.review.org/2005/10/cutting%20_down_on.htmlhttp://www.azinventorymanagement.com/planning.htmlhttp://www.azinventorymanagement.com/planning.htmlhttp://www.azinventorymanagement.com/business_pages.htmlhttp://www.azinventorymanagement.com/business_pages.htmlhttp://www.answers.com/stock%20keeping%20units/reference.jsphttp://www.answers.com/stock%20keeping%20units/reference.jsphttp://www.inventorymanagementreview.org/2005/10/different_inventory.htmlhttp://www.inventorymanagement.com/labels/inventorymanagement.htmlhttp://www.sba.gov/library/pubs/mp_22pdfhttp://www.skuflow.com/refferals.asphttp://www.inventorymanagement.review.org/2005/10/cutting%20_down_on.htmlhttp://www.azinventorymanagement.com/planning.htmlhttp://www.azinventorymanagement.com/business_pages.htmlhttp://www.answers.com/stock%20keeping%20units/reference.jsp


64/65


Jain S.P, Narang K.L, (2001), materials control, Cost Accounting, Kalyani Publishers,Edition.16.

Questionnaire filling by organization employees to know about inventory management

NameAgeDesignationDepartment

1-which techniques used by your organization to control the inventory?

2-which methods are used by your organization for inventory management?

3 who prepared the MIS report of inventory in your organization and which basis it prepared?

4-inventory turnover ration of your organization?

5-level of inventory you kept your organization?

6-which categories the inventory of your organization classified?

7 Is your organization adopt EOQ model for inventory management or control?

8 how your organization maintain the level of inventory?

9-conversion period of inventory?

10-which is most appropriate method used by your organization for manage the inventory

Thank you


65/65


inventory management of escorts company

Documents