Inventory Management P Companies

With the rapid development of the global economy, the enterprise competition has become the competence of supply chain management. As an important part of supply chain management, inventory management is increasingly becoming the focus of enterprises and now has been treated as an effective method to enhance market competitiveness of enterprises.To maintain continuous production activities, companies have to hold a certain amount of inventory. To guarantee the high level of customer service, some companies would like to have relative large inventory quantity, which results in high inventory cost and low turnover rate of funds or even lockup. To reduce the percentage of circulating fund, others choose to keep lower inventory level, which wastes productivity and cannot satisfy customers. Therefore, it is becoming the focus of all the companies to keep reasonable inventory level, increase returns and enhance market competitiveness of enterprises.To improve the level of Company P’s inventory management, the paper is based on the real situation of it, starts from the material procedures of the company, tries to find out the inventory control problems, does analysis on them, figures out the potential problems and finds the solutions.