GMS 401 Chapter Notes -Warehouse Management System, Inventory Turnover, Economic Order Quantity

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 401
• Professor: Kirk Bailey

Document Summary

Independent demand the demand for items that is unknown and has to be forecasted. Dependent demand the demand for manufacturing parts and components that depends on the product schedule for the finished goods. Inventory: an idle material or product, usually in a warehouse or storeroom. Inadequate management of inventories can result in both under- and overstocking of times (cid:215) (cid:215) Inventory turnover: ration annual costs of goods to average inventory investment. Inventory managers are required to perform the following activities: safely storing and using inventories, tracking inventories and using inventory control models, forecasting demands and lead times, estimating inventory costs, performing a-b-c classification. Warehouse management system: a computer software that controls the movement and storage of materials within a warehouse, and processes the associate transactions. Perpetual tracking: keeps track of removals from and additions to inventory continuously, thus providing the current inventory level of each item. Radio frequency identification (rfid): a technology that uses radio waves to identify items.