Importance Of Inventory Management In Supply Chain

Supply chain digital explores why inventory management in supply chain is the key to sustained success.

Importance of inventory management in supply chain. The most fundamental functions that inventory has in supply chains are as follows to supply and support the balance of demand and supply. Scm is the active management of supply chain activities to maximize customer value and achieve a sustainable competitive advantage. Why inventory management is important for supply chain management april 25 2016 it is essential for each company to manage the inventory so that the excess stock is not stored at the company and at the same time the demand for customers is met. A supply chain is a network of companies that facilitate the movement of goods and services from inception raw materials to finished products delivered to the end customer.

At the centre of these supply chain relationships particularly those involving product flows is inventory management. Why inventory management is important for supply chain management arguably the most important and difficult role that inventory plays in supply chains is that of facilitating the balancing of demand and supply. A prominent inventory is considered a core component of the supply chain and is where all areas of the supply chain come together in tandem. Iim udaipur s one year mba in global supply chain management is a comprehensive program designed for the supply chain professionals with at least three years of experience who are looking forward to a great career in logistics supply chain and procurement.

Inventory management is an important component of global supply chain management. 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 importance of inventory management in supply chain management. As we know inventory plays a very important role in supply chains being a salient feature.