Inventory management is essential in determining long-term benefits kompetatif. Quality, engineering, product, price, overtime, excess capacity, ability to respond to customers due to poor performance, lead time (lead time) and overall profitability are the things that influenced by inventory levels. Company inventory levels higher than the competitors tend to be in a weak competitive position. Wisdom of inventory management has become a weapon for won competitive. In manufacturing companies, inventories consist of raw materials inventory, goods in process and finished goods inventory. Inventory management which will discussed here is more focused on inventory management of raw materials. Management supply of raw materials inventory levels aimed at ensuring sufficient raw materials, not too much but not too little, so the cost of raw materials economically and company does not lose the opportunity to serve the sales because lack of supply of raw materials.
Element Cost of Raw Materials
There are four groups that affect the cost of inventory base price
raw materials, namely:
1. Invoice Price.
Invoice price is the price agreed between the company with suppliers. Pieces of purchase will reduce the invoice price, while transport costs are borne by the company are treated as Additional invoice price.
2. Raw Pemesan costs.
This cost is also called cost or procurement ordering cost is the cost incurred in executing the purchase materials. These costs are grouped into 2, namely:
a. Pemesan Cost Fixed
b. Pemesan Cost Variable
3. Raw storage costs.
This cost is also called storage cost or carrying cost is the cost incurred in conducting the storage material for ready use in the production activities. These costs are grouped into two namely:
a. Fixed Storage Cost
b. Variable BiayaPenyimpanan
4. Stock insufficiency costs.
These costs arise because of the inventory raw materials are not sufficient to meet production needs. Cost These include: loss of sales loss, additional transportation costs due to purchased suddenly, the demand from customers for the delay, and additional costs because the production process does not irregular.
Reason Own Stock
Maximum profit can be achieved by minimizing the cost of associated with inventory. However, minimizing the cost of preparation can be achieved with ordering or produce in small quantities, whereas for minimize the cost of ordering can be achieved by making orders which large and rare. So minimizing storage costs pushed the number of supplies little or no, while minimizing the cost of ordering should be done with an order supplies in the relative amount large, thus pushing a large amount of inventory. The second reason that pushed the company store inventory in a relatively large amount of uncertainty is the problem of demand. If demand for materials or products larger than expected, then inventory can serve as a buffer, which gives the company ability to meet the delivery date so that the customer was satisfied. In general, the reason for having inventory is as follows:
1. To balance the order or preparation costs and fees
storage.
2. To meet customer demand, such as keeping the date of delivery.
3. To avoid the closure of manufacturing facilities due to:
a. Mechanical fault
b. Damaged components
c. Component unavailability
d. Late delivery of components
4. To refute the production process that can not be relied upon.
5. To take advantage of discounts
6. To cope with price increases in the future.
Element Cost of Raw Materials
There are four groups that affect the cost of inventory base price
raw materials, namely:
1. Invoice Price.
Invoice price is the price agreed between the company with suppliers. Pieces of purchase will reduce the invoice price, while transport costs are borne by the company are treated as Additional invoice price.
2. Raw Pemesan costs.
This cost is also called cost or procurement ordering cost is the cost incurred in executing the purchase materials. These costs are grouped into 2, namely:
a. Pemesan Cost Fixed
b. Pemesan Cost Variable
3. Raw storage costs.
This cost is also called storage cost or carrying cost is the cost incurred in conducting the storage material for ready use in the production activities. These costs are grouped into two namely:
a. Fixed Storage Cost
b. Variable BiayaPenyimpanan
4. Stock insufficiency costs.
These costs arise because of the inventory raw materials are not sufficient to meet production needs. Cost These include: loss of sales loss, additional transportation costs due to purchased suddenly, the demand from customers for the delay, and additional costs because the production process does not irregular.
Reason Own Stock
Maximum profit can be achieved by minimizing the cost of associated with inventory. However, minimizing the cost of preparation can be achieved with ordering or produce in small quantities, whereas for minimize the cost of ordering can be achieved by making orders which large and rare. So minimizing storage costs pushed the number of supplies little or no, while minimizing the cost of ordering should be done with an order supplies in the relative amount large, thus pushing a large amount of inventory. The second reason that pushed the company store inventory in a relatively large amount of uncertainty is the problem of demand. If demand for materials or products larger than expected, then inventory can serve as a buffer, which gives the company ability to meet the delivery date so that the customer was satisfied. In general, the reason for having inventory is as follows:
1. To balance the order or preparation costs and fees
storage.
2. To meet customer demand, such as keeping the date of delivery.
3. To avoid the closure of manufacturing facilities due to:
a. Mechanical fault
b. Damaged components
c. Component unavailability
d. Late delivery of components
4. To refute the production process that can not be relied upon.
5. To take advantage of discounts
6. To cope with price increases in the future.