Efforts to reduce inventories are a natural trend in all enterprises that are interested in the availability of spare cash. 11 years of observations made while implementing hundreds of projects show that (at any given moment) only about 0.5% of companies do not work on the reduction of their inventories.
The book’s objective is to help employees and managers who are responsible for the process to make wise decisions regarding inventory reduction. And by ‘wise’ we mean safe for the enterprise, i.e. the decisions which do not increase the risk of delays in handling production or customer orders due to the shortage of materials, semi-finished or finished products.
The book attempts to lead the reader through the intricacies of inventory calculation, selection of inventory management methods and steps in the decision-making process to answer the question: to what extent and where the reductions may be made so that the objectives are smart and attainable within a required period.
At the same time I endeavour to show how various people and departments impact inventory stock levels and how important their cooperation is in the inventory reduction efforts.