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Aggregate Inventory Management
redact Article | Posted: Aug 11, 2006 | Comments: 0 | Views: 9,429 | [pic]
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an choice of a paper originally written by George Miller, break in of PROACTION. It has been modified and updated by Paul Deis, PROACTION CEO.
Overview
In spite of the spacious advances in industrial management in areas such as JIT, Flow Manufacturing, Lean Manufacturing, MRP/MRPII, ERP and Supply Chain Management, and now, Electronic Commerce, armoury investment management continues to be a major electrical outlet for many organizations. Installing the latest software and mouthing the most normal buzzwords is no guarantee of good inventory management. As with near all Best Practices, it is the effective use of available tools by properly educated and trained people that creates the desired result.




This paper covers how to set up and maintain Aggregate Inventory Management for improved investment and operations management. It is a macro, top-down surface that complements a companys micro SKU (part number) level management techniques.
definition, Goal and Objective
Definitionâ€"the APICS Dictionary defines Aggregate Inventory Management as Establishing the boilersuit levels of inventory desired and implementing controls to ensure that individual replenishment decisions reach out this goal.
It includes:
How to assess overall investment levels and set targets.
How to identify inventory investment level drivers and help control them
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