Details of 1-day Training Programme on Inventory Management Introduction
: - All organization need to maintain inventory in various forms like raw materials, work in progress (WIP) and finished products. However, maintaining inventory at optimum level is a perennial challenge. On the one hand there is risk of stock out and building up of excess inventory on the other. Hence, maintaining inventory at optimum level is essential for business organisation which can lead to additional profits. We have designed a one day training program to equip the stores/ inventory professionals with effective inventory management strategies. Cost Reduction because of this Training or ROI on Training
: - This training is aimed at reduction of Inventory Carrying Cost of raw materials. Cost of the training is just small fraction of the benefits accrued by implementing TMC for negotiations. This training gives in-depth understanding of the inventory carrying charges and ordering charges. Intangible benefits of the training would accrue if participants focus their efforts in managing these two costs. Objectives of the Programme
: - By taking this course participants will:
- Understand the role of maintaining the inventory and how to release the working capital by holding a lean inventory
- Learn How to categorise the material and thereby improve the efficiency of the purchase and stores department
- Be able to take scientific decision on how to much quantity to order when suppliers gives various price discounts
- Be able to take scientific decision on how to quantity to keep in warehouse thereby avoiding excess quantity or inadequate stock
Indigenous concept by the faculty
- How to measure the performance of the purchase function as a whole.
: - Participants will learn how to calculate Total Material Cost (TMC). By mapping TMC, participants will learn how to decide the negotiation point. This is unique concept developed by the faculty and participants will not get it in any book or website. Training Suitable for
: - This programme is suitable for Inventory Planners, Demand Planners, Purchase Managers (but not for stores professionals). Eligibility Conditions to Attend the Workshop
: - This training involves good amount of numerical exercises. Therefore participants, whether engineers or otherwise, need to have strong numerical or calculation abilities. Slowness of the few reduces the speed of the discussion, hence this requirement.
Training Programme Contents First Half (0930 to 1315 hours)
- What is Inventory and how it impacts our business?
- Challenges in managing the inventory
- How to calculate Ordering Cost and Inventory Carrying Cost
- What is ABC (Class of materials) analysis and how to use it?
- How to improve productivity through ABC analysis?
Second Half (1400 to 1730 hours)
- What is EOQ, why it is relevant even today and how to calculate EOQ for various price bands
- How to calculate Total Material Cost and its use for negotiations
- How to Determine various stock levels (safety stock, minimum stock, maximum stock and reorder point)
- KPIs (Key Performance Indicators) for managing the inventory