All the materials , parts , suppliers , expenses and in

process or finished products recorded on the books by an

organization and kept in its stocks warehouse or plant for
some period of time.

Inventory control is the technique of maintaining the size

of the inventory at some desired level keeping in view
the best economic interest of an organization.
 RAW MATERIALS :-
BASIC INPUTS THAT ARE CONVERTED INTO FINISHED
PRODUCT THROUGH THE MANUFACTURING
PROCESS.

WORK IN PROGRESS :-
Semi manufactured products that need some more
work before they become finished goods for sale.
 FINISHED GOODS :-
COMPLETELY MANUFACTURED PRODUCTS READY
FOR SALE.

SUPPLIES :-
Office and plant cleaning materials that do not directly enter
production but are necessary for production process and do
not involve significant investments
 To stabilise production.
To take advantage of price discounts.
To meet the demand during the replenishment
period.
To prevent loss of order (sales).
To keep pace with changing market conditions.
 PURCHASE / PRODUCTION COST.

ORDERING COST.

INVENTORY CARRYING COST (HOLDING COST).

 A-B-C ANALYSIS

EOQ

SDE ANALYSIS

FSN ANALYSIS
 HOW MUCH TO ORDER ?

WHEN TO ORDER ?
THANK YOU