Petrick holds a Master of Arts in philosophy/economic anthropology from Pennsylvania State University. Inventory control systems and management. He monitors the levels of stock and makes purchase orders when it falls below desirable levels. Part of Springer Nature. He writes career, business and education articles. The inventory manager is mainly responsible for ensuring that the organization has the right amount of stock to meet customer’s needs and also to avoid overstocking certain items, which ties up cash and storage resources. Looking to grow your business with the right type of partnership?

The documentation is useful for formulating marketing and procurement policies and strategies to improve stock turnover. Unable to display preview. As part of the supply chain, inventory management includes several different aspects such as controlling and overseeing purchases from suppliers and customers, maintaining the storage of stock, controlling the amount of product for sale and order fulfillment. Resource center for sales, training and promotional materials. The role of inventory management is to maintain a desired stock level of specific products or items. Fogarty D. W., Blackstone J. H., Jr., and Hoffman, T. R.. Vollman J. E., Berry N. L., and Wybark, D. C, © Springer Science+Business Media New York 1996, https://doi.org/10.1007/978-1-4615-4117-2_2, Chapman & Hall Materials Management/Logistics Series. The manager also needs to track the inventory flow to identify slow moving and dead stock.

Inventory management is an important part of an organization’s profitability because the faster the turnover, the more money the organization makes. Check out one of our many preferred partners to find a distributor, reseller, service provider, integrator suitable for your needs. Once the parameters are determined, the challenge is how much to order, when to order, and how to control ongoing activities. In addition, the manager deals with grievances, complaints and disciplinary matters arising out of his department. If the marketing department is running a promotion, the inventory manager should be apprised so he can include the promotional items in the order. 25+ years devoted to providing turnkey tracking solutions to hundreds of thousands of clients worldwide. Once the parameters are determined, the challenge is how much to order, when to order, and how to control ongoing activities. Inventory management is a very important function that determines the health of the supply chain as well as the impacts the financial health of the balance sheet. Inventory is a fundamental measure of the overall health of supply chain and logistics activities. At the centre of these supply chain relationships, particularly those involving product flows, is inventory management. This is a preview of subscription content. Activate Your Wasp Software to Get Started, Wasp's Standard and Comprehensive Warranty Information. Sign up here to request entry into our WaspLink Partner Programs. Over 10 million scientific documents at your fingertips. Inventory management refers to the process of ordering, storing and using a company's inventory: raw materials, components and finished products. The inventory manager must prepare and ensure the accuracy of documentation relating to inventory. He also works with the rest of the management team to ensure that the organization has adequate supply of stock during peak customer periods, such as during sales and on holidays. 5 Lean Inventory Principles: Ending Inventory Waste, median expected salary for an inventory manager, Inventory Management, Manufacturing, and Warehouse Books on Amazon, APICS Certification in Production and Inventory Management, 4 Key Responsibilities of Inventory Managers. Already know Wasp is a perfect match for your business? The manager is responsible for managing the staff in the inventory department. Why Inventory Management is Important for Supply Chain Management. It is up to the inventory manager to ascertain the quality of goods that are delivered to the organization and also to confirm that they are still in excellent condition before they are shipped out to the customer.

Inventory management is an important part of an organization’s profitability because the faster the turnover, the more money the organization makes.

Cite as. This service is more advanced with JavaScript available, Mrp II Copyright 2020 Leaf Group Ltd. / Leaf Group Media, All Rights Reserved. Track Consumables, Supplies and Countless Other Items, Track Equipment, Tools, IT Assets and Much, Much More, Barcode Software for Label Design, Printing, and Tracking, Mailroom and Inbound Package Tracking Software, Time Clock Software, Hardware, and Systems, Scanners Designed for Fast and Accurate Tracking, Mobile Computers for Maximum Rugged Mobility, Barcode Printers for All Label Applications and Environments, Labels and Supplies for All Printer Brands, View Our Knowledgebase or Submit a Support Ticket, Technical Support Articles, FAQs and Troubleshooting Tips, Submit a Support Ticket to Technical Support, Choose from our Web-Based or On-Site Options, View Detailed Information About Wasp Support Policies, See All of Your Support and Training Options. Not affiliated The authors of The Definitive Guide to Inventory Management discuss what inventory is, the role of inventory in supply chain management, and why inventory is such an important metric in supply chain management. The desired level is a function of customer service requirements and the cost of inventory investment. Ensuring that the organization has optimal levels of stock is one of the key responsibilities of an inventory manager. Inventory management is the products or materials a company sells to its customers in order to make profit. Today, Wasp is a global leader in turnkey software and hardware solutions for inventory management and asset tracking applications, with hundreds of thousands of customers around the world adopting Wasp solutions since the brand’s inception in 1994. His work has appeared in several online publications including Career Today. It is the responsibility of the inventory manager to ensure the integrity of the stock management systems to guard against pilferage, theft, fraud and other activities that adversely affect the organization’s operations. 194.158.206.122. Companies invest a significant amount of financial resources in acquiring inventory, so the manager has to be up to the task of strategically managing the investment. He has the final decision-making authority on the hiring of inventory planners, quality assurance officers and other members of staff needed to run the department. Keeping control of your stock so that you’re able to hold the least amount of inventory in your warehouses makes for easier organization, lower holding costs, better cash flow, and more space within your warehouses. Efficient inventory management is crucial to the success of a business, and as such it’s incredibly important to hire a cap able inventory manager.

Not logged in Register it here. As such, he is responsible for establishing and maintaining relationships with suppliers to ensure efficiency along the supply chain. As Wasp’s solutions evolved, the company expanded its client base to include even the largest enterprise-level clients, while maintaining a stronghold in the broad SMB market. The determination of desired inventory levels requires the consideration of the attributes of each item. In some cases, the inventory manager might double as the purchasing manager.

Download preview PDF. The inventory manager is mainly responsible for ensuring that the organization has the right amount of stock to meet customer’s needs and also to avoid overstocking certain items, which ties up cash and storage resources.

The inventory manager is responsible for directing the flow of goods into, through and out of the organization’s storage facilities. He is also responsible for training them on organizational ethics, safety standards, return policies, sales promotions, work flow processes and practices that relate to the handling of inventory. The mission is to address the activities and techniques to best manage inventories. Salary.com lists the median expected salary for an inventory manager in the United States at $78,760; this isn’t surprising considering these individuals are responsible for guaranteeing your organization stays in control of its inventory needs. The Purpose of Inventory in Operations Management By Mary Ann Anderson, MSE, Edward J. Anderson, Geoffrey Parker Managing your operations to balance inventory in an effort to satisfy customer demand — that is, actual demand in the market for products and services — without exposing the company to unnecessary cost and risk is crucial.