Studies On Optimizing Raw Material Inventory Management Of H Enterprise

The manufacturing industry is an important pillar industry of China’s economy. Under the environment of global economic integration and financial crisis, the competition becomes fiercer and fiercer. Appropriate raw material inventory can enhance an enterprise’s core competence, but excessive inventory means huge inventory costs. Therefore, finding a method to manage the inventory is an urgent requirement for an enterprise which is facing the threat of a shortage of funds. Taking H Enterprise as an example, this thesis wants to give some advices.First, this thesis describes the basic principles of inventory management and analysis. Then the thesis studies the problems of the H inventory management, such as inaccurate demand forecasts, backward in its inventory management method, inaccurate inventory data; without an effective information exchange mechanism; and the low timely delivery rate. Based on the studies above, the thesis introduces some optimization proposals for the raw material inventory control. That includes improving the sales forecasts’accuracy with scientific management of the forecasting process, enhancing inventory levels through ABC classification, and ensuring its implementation through a number of supporting measures.In all, this thesis aims to find an effective solution for H Enterprise to fundamentally change the outdated method of inventory management on one hand, and on the other hand, this new inventory method will also be a reference for other manufacturing corporations.