CS - 374
Consultants for Efficient production planning & improved inventory management
Case Study:- EFG Ltd is into business of manufacturing automobile ancillary spare parts. The company did not maintained colour wise stock of assembly parts and with no record of colour wise production of parts. Production plan was made on the basis of finished goods required for sales. ignoring the stock available of assembly parts
Colour wise stock was recorded in the current ERP system post physical stock taking. Colour wise BOM (Bill of Material)masters were created in system enabling plant managers to monitor closing stock of assembly parts and perform efficient production planning
Reduced inventory levels of assembly parts were achieved by avoiding substantial variation in available stock of across assembly parts required for each unit of finished product. This lead to reduction in annual inventory carrying cost of Rs. 5 lakh.