by Jon Schreibfeder | Apr 15, 2015 | Forecasting, Replenishment Parameters
Over the last several months, we have been discussing barriers to achieving lean inventory management. That is, having inventory arriving “just in time” when it is needed by a customer or for use in an assembly or repair. Successful lean distribution is dependent on...
by Jon Schreibfeder | Nov 12, 2012 | Replenishment Parameters
I was reviewing replenishment parameters for several inventory items with a client this week. We ran across an item where a buyer had established a minimum stock level of 10 pieces and a maximum stock level of sixty pieces. The item is typically sold 10 pieces at...
by Jon Schreibfeder | Sep 19, 2012 | Replenishment Parameters
Safety stock provides protection against stock outs due to unexpected demand for a product or delays in receiving a replenishment shipment from a supplier. It is insurance – and like other types of insurance, it is an expense of doing business. Like many other types...
by Jon Schreibfeder | Sep 19, 2012 | Replenishment Parameters
Over the next few months, we will discuss setting meaningful replenishment parameters. Today’s article deals with the importance of setting accurate anticipated lead times. The anticipated lead time is the amount of time (usually expressed in days) we estimate...
by Jon Schreibfeder | Sep 19, 2012 | Replenishment Parameters
I received a call from a customer this week saying that the minimum quantities in his computer system were far too high. Joe explained, “We normally sell four pieces of product #A100 per month. The computer system has a minimum quantity set at eight pieces. If...
by Jon Schreibfeder | Sep 19, 2012 | Replenishment Parameters
A few months ago we published an article entitled “Trimming Inventory While Maintaining a High Level of Customer Service.” In that article, we suggested that you “micro-manage” your fast-moving products by ensuring that forecasts are accurate...
