Document Type

Thesis - Open Access

Award Date

1966

Degree Name

Master of Science (MS)

Department / School

Mechanical Engineering

Abstract

The control of inventories is one of the most complex and far-reaching of all business activities. It is the focal point of many seemingly conflicting interests and considerations – both short and long range. It’s planning and execution involves participation by most of the functional segments of a business; sales, production, purchasing, finance and accounting. The end result achieved has a major bearing on the company’s financial strength and competitive position, since it directly affects the quality of service to customers, production costs, earnings and soundness of working capital position. Two facts reinforce this estimate of the importance of inventory control in modern business. These are: 1. In most manufacturing companies, the management of finished goods inventories is the heart of the day-to-day problem of coordinating production and sales. 2. Inventory losses are one of the primary direct causes of business failure and have been widely present in most business declines and depressions. Inventory control refers to the process whereby the investment in materials and parts carried in stock is regulated within predetermined limits set in accordance with the inventory policy established by management.

Library of Congress Subject Headings

Stores or stockroom keeping
Industrial Management

Format

application/pdf

Publisher

South Dakota State University

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