Effective Inventory Management with MRP software – 19th July 2017
The first question of effective inventory management is not, “how much inventory should we have?” Nor is it, “when should we make or buy something?” The most important question to ask in today’s manufacturing environment is, “given our system and environment, where should we place inventory to have the best protection?”
Once you have established and replenished your inventory positions, the actual levels of your inventory have to be initially set. Over the course of time, group and individual traits can and will change as new suppliers and materials are used, new markets are opened and/or old markets deteriorate and manufacturing capacities and methods change.
Inventory controls within an MRP system will allow your company to adapt to group and individual part changes over time through the use of several types of adjustments. So as more or less variability is encountered or as a company’s strategy changes, so will your MRP system. It will allow you to adapt and change it to fit the environment of the time.