Inventory

management system

presented by :
Sumeshan Dubey
Sumit Mehta
 DEFINATION

Inventory Management System- A

set of policies and controls that monitors levels of
inventory and determines what levels should be
maintained, when stock should be replenished, how
large orders should be Placed, carrying costs of
inventory, asset management, inventory forecasting,
inventory valuation, future inventory price forecasting,
physical inventory, available physical space for
inventory, quality management, returns and defective
goods and demand forecasting.
 Inventory Management provides

 Up-to-date information about data processing resources

through the creation and archiving of records in a
centralized repository

 Financial records specific to a single component, or groups

of components.

 Component Status Indicators to identify a component as

Active , Redeployed , Donated , or Terminated

 Service records for all components in the inventory.

 Reports can be generated from the Inventory Management
Systems that would project the amount of revenue that can
be generated through the sale of surplus equipment, so that
you can project the costs associated with maintaining
duplicates of critical equipment at recovery sites.

 Ensure efficient and timely identification of vital corporate

assets.

 To identify and track all data processing assets in an

Inventory System Repository.
ROLE OF IMS
It provides information to:

Efficiently manage the flow of materials

Effectively utilize people and equipment

Coordinate internal activities

Communicate with customers.

Basic building blocks for IMS
Sales Forecasting or Demand Management

Sales and Operations Planning

Production Planning

Material Requirements Planning

AREAS OF APPLICATION
Retail and manufacturing sector such as
various marts,departmental stores and all the
manufacturing units where it is necessary to keep all
the records of items that are available with them.

Medical facilities

Millitary facilties
ADVANTAGES OF IMS
Availability of stock
It helps a seller to know that what is available in his
stock
Demand of a product
Helps to determine the demand of a product
More reliable
As operated through a computer system one can
rely on it
Its easy to keep record
 While inventory management systems offer
retailers and vendors many advantages, there are
some pitfalls. Because the system aims to keep a
bare minimum of stock in store, retailers can be
caught short if an item unexpectedly becomes a
big seller. Retailers traditionally kept additional
stock on hand -- known as buffer or safety stock --
to prevent that occurrence, but many have
discontinued the practice.
thanks……………