Study On LP Company's Inventory Control Optimization

Due to more frequent big event and increasing price of energy, the Multi National Corporation's global supply chain faces new problem: the supply breaking or delay of key materials will impact enterprise's operation. The thesis bases on actual inventory control requirement of LP– a representative company of iron oxide pigments industry, studies & researches for optimization method and give a reference to companies which is in same situation.The thesis referred current research result, considered LP's characteristic on sales forecast & RM planning demand, focused on production line's whole stock qty, optimized local & export forecast individually to get a stable total long term forecast by combination forecasting method with adding economy prosperity estimate factor. Then changed long-term stock target setting method to have available maximum inventory level, decided GIT application, using (R, s, S) module & sufficient stock preparation strategy to get new inventory supply method. These action help LP increasing the inventory control ability, and evaded supply risk.At first the thesis shows the research background and research target, contents & result, ends with the thesis structure. Then after the summarization of current research and LP's running situation, the research route and applied theory, method is introduced. The 3rd chapter makes detail forecast & inventory control situation analysis; gets optimization module for sales forecast, inventory target setting, & replenishment with detail parameters listed. In 4th chapter it shows the application of new control method in LP and proved the validity. Finally the thesis makes sum-up for the research and points out the shortage, also has an expectation to future study in this field.