JH Company Research On Inventory Management

With the global market to strengthen the interactive, on-trade is becoming more competitive, and the product life cycle is becoming shorter and shorter, increasing product variety. Uncertainty of demand for the day so that the increase of the supply chain industry supply and demand imbalance is very prominent. A serious backlog of inventory and products out of stock both regular and the resulting increase in operating costs to reduce the industry's profits and performance. How good balance between supply and demand inventory management to enhance enterprise competitiveness and profits is based on enterprises that need to be solved.In this paper, to Chengdu, JH's inventory of raw materials and finished goods inventory management for the study, first of all an analysis of JH inventory management of the status quo, pointing out that supply and demand uncertainty, the lack of scientific inventory management methods, based on a lack of coordination in the supply chain inventory. Management thinking is leading to higher inventory costs, inventory backlog serious waste of the main reasons. Inventory management for a lack of extensive scientific management guidance, will be made ABC classification, EOQ model of newsboy model and applied to the purchase of raw materials and finished goods production plan drawn up in economic activity. Economic order quantity model used to determine the economic order quantities of raw materials. Groups using projections on the demand for finished goods improved forecasting method, and based on the newsboy model to determine the best finished goods production. Through the use of science and quantitative analysis of the results of the data shows that the method of how to improve inventory management to reduce the cost of JH's stock. Finally, based on the collaborative supply chain inventory management strategy, the company pointed out that the JH how to strengthen contacts with the suppliers, subcontractors, distributors of cooperation to reduce the supply, production, demand uncertainty in order to achieve a better balance between supply and demand And reduce inventory costs.The results of this paper, not only to improving inventory management JH, JH reduce inventory costs and improving its supply chain responsiveness and flexibility in raising capital JH turnover rate, the rate of return, as well as enhance the market competitiveness of JH is always necessary, JH other similar enterprises of Japan also an important reference.