Optimize Stock Levels, Reduce Costs & Enhance Supply Chain Efficiency
TRAINING OBJECTIVES:
By the end of this training course,
participants will be able to:
- Deliver a Structured approach to Forecasting,
Demand Planning and Stock Control: - Essential to ensure that sufficient inventory
levels are available throughout the business
cycle to successfully deliver on Supply
Chain Management (SCM) requirements. - Provide the decision-making tools required to:
- Balance the cost of having sufficient quantities of stock available at all times against the cost of purchasing smaller quantities as and when required and therisks associated with a stock-out.
- Navigate the uncertainties and dynamic nature of the inventory management process.
- Share knowledge and experiences aimed to improve the skills of delegates who face the challenges associated with the management of inventory.
WHO SHOULD ATTEND:
- Inventory Managers, Warehouse Supervisors, and Materials planners.
- Buyers, procurement officers, and Supply Chain Professionals.
- Finance Professionals managing inventory investments.
- Professionals responsible for reducing costs, increasing productivity, and improving customer service levels.
- Anyone involved in the value chain of inventory management.
THE WORKSHOP
Inventory management is a critical function in every organization, directly impacting profitability, operational efficiency, and customer satisfaction. This course will teach participants how to optimize inventory levels, reduce costs, and improve efficiency by understanding key concepts, techniques, and best practices. The course will cover topics like demand forecasting, just-in-time inventory, ABC analysis, equipping participants with practical tools to balance inventory availability and efficiency.
This course addresses the challenges and complexities of inventory management, such as balancing cost
pressures, reducing inventory investment, and managing stock-keeping units (SKUs) efficiently.
Participants will gain practical insights and tools to implement sound inventory management strategies that
enhance business results and operational efficiency.
THE PROGRAM
Day 1
- Introduction
- Types of Inventories
- Forecasting vs Demand:
- Terms & Definitions
- Forecasting Techniques
- Quantitative Forecasting:
- Simple Average
- Number of Periods to Include
- Moving Average
- Weighted Moving Average
- Activities
- Seasonality Forecasting
- Planning
- Manufacturing Resource Planning & Control – MRPII
- Master Production Schedule – MPS
- Aggregate Production Plan
- Material Requirements Plan – MRP
- Dependant Inventory Model Requirements
- Bill of Materials – BOM:
- Single Level
- Multilevel Tree Structure
- Indented BOM
- Activities
- Stockholding Decisions
- Inventory Usage
- Advantages & Functions of Inventory
- Disadvantages of Inventory
- Inventory Sub-Categories
- Material Flow Cycle
THE PROGRAM
Day 2
- Inventory Management
- Inventory Ownership & Control
- Cost of Inventory
- Item Cost
- Ordering Cost
- Capacity Related Costs
- Stockout Costs
- Carrying/Holding Costs
- Activity
- Measuring Customer Service Level
- Activity – Meeting Customer Service Level Objectives
- Safety Stock
- Determining Safety Stock Levels
- Data Distribution
- Normal Distribution
- Activity
- Inventory Classification
- ABC Classification of Inventory
- Inventory Value
- Price
- Quantity
- Pareto Analysis
- Exercise
- Managing ABC Inventory
- General Approach
- Practical Considerations
- Control of Inventory
- Lead Times
- Safety/Buffer Stock
- Physical Management
- Cycle Counts
- Stock Turnaround
- Days of Supply
- Stock Variances
- Activities
Day 3
- Inventory Models to Cover Demand
- Economic Order Quantity – EOQ
- Production Order Quantity
- Quantity Discount Model
- Manufacturing Lead Time
- Make to Stock
- Make to Order
- Inventory Models to Cover Demand
- Lean Inventory Management
- 5(6)S
- Root Cause Analysis
- Poka Yoke – Error Proofing
- 7 Forms of Waste