Inventory Control
It involves the creation of inventory records, the maintenance of these records, and the counting or auditing of inventory
What is inventory control?
An item that is exactly identical in form, fit, and function
What is an SKU or stock keeping unit
A static location in a facility of some kind
What is inventory storage
A strategy that promotes stocking DCs and retail points in anticipation of future demand and is a form of push distirbution
What is traditional warehousing or temporary inventory storage
An inventory system involving the continuous tracing of inventory accounting for all transactions as they take place and provides on-hand inventory status information at any time
What is a perpetual accounting system
The rest of the inventory system and supply chain cannot operate effectively
Poorly functioning inventory control
State that 80% of the value, velocity, or volume of a group of items accounts for 20% of the items
What is the 80/20 rule or breakdown
Efficiently and effectively staging and distributing goods while achieving ways to reduce or eliminate the need for storage locations
What is inventory deployment
The storage of good as either buffer or safety stock
What is specialty or semi-permanent storage
Requires someone to physically count what is on hand and update records when information is needed
What is a periodic accounting system
The effective control of inventory
What is a key factor in the success of the supply chain
Software used to track inventory levels, orders, sales, and deliveries
What is a warehouse management system
Manufacturing components, customer orders, and other products are received and then sorted and shipped without ever being stored
What is cross-docking
Seasonal demand, speculative or forward buying, conditioning products, erratic demand, lot quantity, maintenance requirement
What requires semi-permanent storage
An inventory accounting system that is associated with computer systems
What is a perpetual accounting system
What has made inventory control more complicated and even more important
What is the growing need for immediate information
A unique item identifier consisting of printed warehouse bars interspersed with white space that contains optical characters with information that can be read by a scanner
What is a barcode
What is key to cross-docking
What is information technlogy
Impacts all phases of inventory management and control, including counting, monitoring, recording, and retrieving inventory itmes
What are computer systems
An accounting system that is associated with a manual system
What is periodic accounting system
Demand Planning, procurement, transportation, sales, etc.
What are other parts of the company that impact inventory control
A 14-digit barcode placed on the outside of a shipping carton or pallet
What is a shipping container code
When a customer purchases a product in a store, the scanned barcode sends an electronic message throughout the store's inventory system
What is QR or quick response
An item record that has a system for filing and control comprised of index cards, rotary card files, or hand-operated sorting systems
What is a manual inventory system known as stock card
A form of periodic accounting for inventory and value that accumulates transactions such as sales and receipts and processes them on a set schedule, normally daily
What is batch processing