INVENTORY CONTROL SYSTEM
Warehouse Operations Supervisory Staff
Learning Team B
04 / 02 / 2002
Following poor results of an audit of our inventory control process, the Warehouse Operations Management team has tasked us with evaluating our current inventory control system. It appears we are losing approximately $10000 per quarter due to loss or theft. Through our own observations it has come to our attention that our current inventory control process is extremely out of date. Because of this we are seeing deficiencies and expenses in our process in addition to customer dissatisfaction that others in the same business are not seeing. Not only is loss and theft taking away from our net profits, unnecessary man-hours are being spent performing duties that can be done faster and simpler. Due to vast changes in technology, there are now relatively inexpensive and extremely efficient processes that allow for a smooth transition of inventory from manufacturer to shipper to warehouse to retail outlets and ultimately to the consumer. We will present to you a suggestion of implementing a new inventory control system determined by evaluating our business objectives, functional requirements, project constraints and current system. We will also provide you with the design requirements for this new system and a cost / benefit analysis.
Our problem, as stated earlier, is the loss of income due to inventory loss or theft. This loss or theft happens due to the way we maintain our inventory. By evaluating our current situation and examining various new possibilities for inventory control, we have found a new and improved process that can almost be seamlessly introduced and implemented. Before we discuss our recommendations for a new system allow us to explain the current system.
During our project we divided some duties amongst ourselves and collaborated routinely to insure we were all on the same page. Scott Davis was tasked with...