Inventory and Purchasing, management assignment help
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Your department’s forecasting recommendation has made vast improvements to the Hangzhou, China on-time deliveries. However, the company president has concerns the resin inventory levels are not ordered in the most optimal quantities. The purchasing department needs your team’s help on when and how much to order.
Prepare a 700-word paper defining inventory management and how inventory relates to costs. Conclude with a recommendation to use an inventory ordering strategy keeping in mind the certainty or uncertainty of the customer demand at the Hangzhou, China location.
Discuss inventory management and differentiate between carrying, ordering, and stock-out costs.
Identify and discuss the strategies of when to order (re-order points – ROP) and how to order (economic order quantities – EOQ).
Analyze the impact that using one of these strategies has on inventory levels and associated costs.
Format your presentation consistent with APA guidelines.
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