what is inventory
DESCRIPTION
Inventory are the results of many interrelated decision and policies within the organizationTRANSCRIPT
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Inventory
Presented By :
Chitrasen JaiswarSubhrat Das Sudhanshu Singh Bharat Yadav Pritesh Singh Divyansh Srivastav
Presented To :
R.K . Tomar
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Content:
A. Introduction of Inventory
B. Characteristics of Inventory
C. Types of Inventory
D. Explanation of EOQ Model
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Introduction of Inventory
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Characteristics of Inventory
A. Inventory serves as a cushion to absorb stocks.
B. Inventory is necessary evil.
C. Inventory are the results of many interrelated decision
and policies within the organization .
D. Inventory provides production economies for achieving
proper production be require ideal inventory
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EOQ Model
These are fours types of Model in EOQ
A.Purchasing Model without shortage
B.Purchasing Model with shortage
C.Manufacture Model without shortage
D.Manufacture Model with shortage
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Types of Inventory A. Transit Inventory
B. Cycle Inventory
C. Buffer Inventory
D. Decoupling Inventory
E. Other Types of Inventory
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Inventory Cost
I. Carrying Cost or Holding Cost ( ( CC11= I*P= I*P ) Where : I - Stock holding cost per Unit
P - Purchasing cost per Unit Item
Lead Time = (2nd order time) - (1st order time)
I. Shortage Cost ( CC2 2 )
II. Setup Cost ( CC33)
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Assumption of EOQ
A. Demand rate is Uniform
B. Lead Time is Zero
C. Production run is infinite
D. Shortage are not allowed C2 =0
E. Ordering Cost are constant
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Graphic Presentation of EOQ
A
Time
Q
Replacement
A B C DO
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ABC Analysis Divides inventory into three classes
based on annual dollar volume
Class A - high annual dollar volume
Class B - medium annual dollar volume
Class C - low annual dollar volume
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ABC Analysis
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ABC Analysis
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ABC Analysis
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Thanks