Research On Inventory Management Optimization Based On VMI In S Elevator Company

With the rapid development of economic, the strengthening of globalization trend andthe fierce competition in the market, small and medium-sized private enterprises in ourcountry want to get survival and development, it is impossible to separate a series ofproduction and operation activities, more and more need to link with other enterprises, sosupply chain management is very important. The stand or fall of inventory managementdirectly affects the result of the supply chain management, so choose a suitable inventorymanagement mode to the development of the enterprise is very important.Vendor managed inventory (VMI) is a kind of typical inventory management modelsunder supply chain environment, since this model is put forward, has caused wide publicconcern. This paper through the analysis of the relevant theoretical knowledge of supplychain and inventory, proposed under the supply chain environment of inventorymanagement model, based on the analysis of inventory management present situation,existing problems and reasons in S elevator company, proposed the traditional inventorymanagement pattern can not adapt to S elevator company’s development needs. Thenanalyzed the necessity and feasibility of the optimization of inventory management basedon Vendor managed inventory (VMI). Using the operational research and mathematicsknowledge, combined with fixed type storage model built an optimization model of vendormanaged inventory (VMI), by comparing the change of the vendor managed inventory(VMI) implementation before and after of the inventory cost and profit, to prove thepractical significance of the implementation elevator company in the S. Finally proposedthe implementation of the strategy of inventory management optimization based on VMImode.Studies have shown that Vendor managed inventory (VMI) is a suitable inventoryoptimization strategy for the development in S elevator company, it can reduce inventory,reduce cost, control the demand amplification phenomenon in the supply chain, improvethe phenomenon of late delivery and improve the market competitiveness of enterprises. Inthis paper, the research to improve S elevator company and other small and medium-sizedprivate enterprises of the supply chain operation efficiency of supply chain has positivesignificance.