Билимлар тизимида илмий билимнинг ўрни. Ижод ва илмий тадқиқот. Фан – ижтимоий-маданий ҳодиса

Inventory

What is inventory?

• A physical resource that a firm holds in stock with the intent of selling it or transforming it into a more valuable state.

Purpose of inventory management

• How many units to order? •
• when to order? 

PURPOSE OF INVENTORY

Reduction of cost is main aspect to be competitive in market using inventory management 

Improvement of profits

Improvement of Efficiency of a firm

Reduction of capital investment improves return on investment

Types of Inventories

Raw materials

Purchased parts and supplies

Finished Goods 

Work-in-process (partially completed products ) 

Items being transported

Tools and equipment

Raw Materials – Basic inputs that are converted into finished product through the manufacturing process 

Finished Goods – Completely manufactured products ready for sale Supplies 

Functions of Inventory

1. To decouple or separate various parts of the production process

2. To decouple the firm from fluctuations in demand and provide a stock of goods that will provide a selection for customers 

3. To take advantage of quantity discounts 

4. To hedge against inflation