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labor materials overheads Increase in profits by 30% Monika kansal
Techniques of material control
Learning Objectives  ,[object Object],[object Object],[object Object],[object Object],[object Object]
What are inventories? ,[object Object],[object Object],[object Object],[object Object]
Why inventories No production is possible without the inventories. Companies have to make the buffer stocks for production.
Inventory speaks of stocks means investment, expenses, material losses.
What is inventory control ? ,[object Object],[object Object],[object Object]
 
Inventories are necessary evil.
Why selective  inventory control` ,[object Object]
 
so ,[object Object],[object Object]
Main techniques in selective inventory control ,[object Object],[object Object],[object Object],[object Object],[object Object]
ABC-Always better control Money value of consumption
Basis of classification  ,[object Object],[object Object],[object Object]
Let us define ABC  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Control by Importance and exceptions
Graphical presentation
Control mechanism of ABC Fully deleagted Middle level managers Senior officials Handled by minimum moderate Rigorous Value analysis Expediting exceptionally periodic Maximum  Follow up high Low  No or very low Safety stock “ C” “ B” “ A” ITEM
Advantages of ABC Analysis ,[object Object],[object Object],[object Object],[object Object],[object Object]
Just in time inventory: ,[object Object],[object Object]
Advantages of JIT ,[object Object],[object Object],[object Object],[object Object]
Perpetual Inventory System : ,[object Object],[object Object],[object Object],[object Object]
Also includes ,[object Object],[object Object]
Merits: ,[object Object],[object Object],[object Object]
[object Object],[object Object]
Demerits: ,[object Object],[object Object],[object Object],[object Object]
control for spares  ?
VED Analysis: ,[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
FNSD Analysis: ,[object Object],[object Object],[object Object],[object Object]
D’. means dead items & the consumption of such items is almost nil.
HML Classification : ,[object Object],[object Object],[object Object],[object Object]
XYZ Classification : ,[object Object],[object Object],[object Object]
Let us recaptualise ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Perpetual Inventory system ,[object Object],[object Object],[object Object]
[object Object],[object Object],A case study
[object Object],[object Object],[object Object],[object Object]
Thanks
Types of inventory ,[object Object],[object Object],[object Object],[object Object]
Functions of Inventory   control ,[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
 
 
 
Why business units have inventories? ,[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
Scope of inventory control ,[object Object],[object Object],[object Object]
[object Object],[object Object]
Factors determining the optimum level of inventory ,[object Object],[object Object],[object Object],[object Object]
[object Object]
 

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Material Control- techniques