The hypothesis to reduce inventory costs 1. purchase cost control (the Control order transaction costs). In order to use a computer or information systems to create a purchase order (Purchase Orders: PO) using the system (Electronic Data Interchange: EDI) transmission order (PO) to use the system to transport goods in advance (Advance Shipping Notices: ASNs) used to evaluate suppliers. To prioritize in order to reduce procurement costs. In the industrial Planning the demand for raw materials or parts in advance. The use of special tools. Modify the tool or mold prior to production of the original lot. Working as a team, maintenance tools will be able to reduce inventory. 2. setting the tolerance level is missing on the basis of customer satisfaction (Base on customer service safety stock) To set the buffer stock level, lack of (Safety stock) by group of goods (Class), with appropriate and clear. Verify the information of the level tolerated continuously deficits and levels of inventory to meet customer satisfaction in the form of financial goals. As a measure to reduce the buffer stock or reduce inventory shortages events and increase profits. 3. forecasting customer needs on a regular basis (demand forecasting routine Use.) Using the experience of editing the equation to calculate the prediction of product in order to minimise mistakes by using a formula to predict only are able to reduce storage than necessary. Product shortages They were just goods needs of the customer. 4. take into consideration the impact of the event (events Forecast). Some event causes the event needs of goods increased to quickly make, regardless of the event in the Turin hotel inventory management. 5. create cooperation between suppliers on order (joint procurement Implement common supplier for purchased parts) to build the cooperation of suppliers in purchasing several items (Multiple SKUs) to reduce the cost of purchasing the item's unit. Thus, the trader can purchase items and reduces the frequency needed to store inventory. 6. include a list of items during transport (Try merge-in-transit).If the client has received several items at the same time. During transport, there may be some consolidation coming from different places coming together for easy transport on receipt of the customer at once. To make transport more efficient and can enhance inventory management is better because it can transport greater frequency. Inventory costs will be reduced. 7. store inventory only sparingly (Keep in stock, but not everywhere). In situations where there are many distribution centers. In each place to store some items that are not the same in quantity. It is not necessary that all must have the same inventory. Thus, the total stock is less..
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