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Inventory Control
- Economic Order Quantity/Order Point
- Independent/Dependent Item Demand
- ABC Analysis
- Physical Inventory
- Cycle Counting
Inventory Classifications
- Raw Materials
- Work-in-Process
- Finished Goods
- Supplies
- Fixtures
- Spares
Independent Demand Scheduling
Deterministic Demand - Finite Replenishment Rate
where:
EOQ = Economic Order Quantity
R = Rate of demand units/year
S = Setup Cost ($)
I = Storage cost per item per year
m = Replenishment rate units/year
Probabilistic Demand
S=uL+R+KsL+R
where:
S=Order Up To Quantity
uL+R=Mean Demand during Lead Time + Review Time
K=Safety Factor
sL+R=Standard Deviation of Demand during Lead Time + Review Time
Dependent Demand Scheduling
Material Requirements Planning:Data Requirements
- Master Schedule
- Inventory Status (on-hand and on-order)
- Replenishment Lead Time
- Bill-of-Materials (BOM)
- Backward Scheduling
- Gross-to-Net Calculation
- Component Pre-deduct and Kitting
- Kanban-Signal for Work/Outage
- Dynamic analysis of EOQ model
- Zero setup
- Zero Leadtime
- EOQ=1
- Flexible Work Force
- Total Quality
- Two-pairs of eyes
- Line Stop
- Quality Circles
- Kaizen-Continuous Improvement
- Poka Yoke-Fool Proofing
- Pareto Analysis
- Fishbone/CEDAC (Fukuda)
- Flat BOM
- Raw Material & WIP Combined (RIP)
- Component Post-deduct/Backflush
Purchasing
- # of vendors/component
- requirement specification performance/quality
- receiving inspection
- scheduling/expediting - stockout/hotlist provisions
- price/payment terms
- Receiving
- Accounts Payable
Transportation
- packaging
- common carriers vs.fleet
- vehicle maintenance management
- network traveling salesperson optimization
Storage
Facilities Requirements- cooling
- cleanliness
- humidity
- proximity
- stacking algorithms
- simulation
Additional References
- Babcock, D.L. Managing Engineering and Technology, 2nd ed., Prentice Hall, Upper Saddle River, 1996.
- Bedworth, D.D., Bailey, J.E., Integrated Production Control Systems: Management, Analysis, Design, Wiley, New York, 1982.
- Bhote, K.R., World Class Quality: Design of Experiments made Easier, more Cost Effective than SPC, American Management Association, New York, 1988.
- Box, G.E.R., Hunter, W.G., Hunter, J.S., Statistics for Experimenters, Wiley, New York, 1978.
- Fukuda, R., Managerial Engineering: Techniques for Improving Quality and Productivity in the Workplace, Productivity, Inc., Stamford, 1983.
- Glos, R.E, Steade, R.D., Lowry, J.R., Business: Its Nature and Environment - An Introduction, 8th ed., South-Western, Cincinnati, 1976.
- Groover, M.P., Automation, Production Systems, and Computer-Aided Manufacturing, Technomic, Lancaster, 1987.
- Konz, S.A., Work Design: Industrial Ergonomics, 2nd ed., Publishing Horizons, Columbus, 1987.
- Lu, D. J., Kanban: Just-in-Time at Toyota, Productivity Press, Stamford, 1986.
- Peterson, R., Silver, E.A., Decision Systems for Inventory Management and Production Planning, Wiley, New York, 1979.
- Rosaler, R.C., Rice, J.O., Industrial Maintenance Reference Guide, McGraw-Hill, New York, 1987.
- Schonberger, R. J., Japanese Manufacturing Techniques: Nine Hidden Lessons in Simplicity, Free Press, New York, 1982.
- Taguchi, G., Introduction to Quality Engineering: Designing Quality into Products and Processes, Quality Resources, White Plains, 1989.
Additional References
- Bedworth, D.D., Bailey, J.E., Integrated Production Control Systems: Management, Analysis, Design, Wiley, New York, 1982.
- Orlicky, J., Material Requirements Planning: The New Way of Life in Production and Inventory Management, McGraw-Hill, New York, 1975.
- Peterson, R., Silver, E.A., Decision Systems for Inventory Management and Production Planning, Wiley, New York, 1979.
- Schonberger, R. J., Japanese Manufacturing Techniques: Nine Hidden Lessons in Simplicity, Free Press, New York, 1982.
- Lu, D. J., Kanban: Just-in-Time at Toyota, Productivity Press, Stamford, 1986.