Improving Inventory Productivity in Multi-Level Distribution Systems

摘要

Methods for improving the productivity of multi-location inventory systems are discussed. Management techniques, including choice of service objectives, design of manager performance measures, and the interaction of the transportation mode with the location and amount of inventory are considered. Ways of improving productivity of inventory assets by selecting inventory levels appropriately at all locations are examined. It is recommended that large, multi-level inventory systems be managed with a multi-level approach, wherein the levels are used to complement each other to provide good service at minimum cost. The need for centralization of authority as well as of inventory is emphasized, as is the need for inventory policies and management to match the company. In some cases inventory may be reduced by as much as 50 percent without degrading service.