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problem 1:

(a) The high cost involved in carrying stocks has motivated several organizations to adopt a stockless policy. Describe and illustrate out the JIT concept, identifying its limitations and benefits.

(b) describe the helpfulness of ABC analysis in the management of stock.

problem 2:

Research suggests that the annual inventory holding cost represents on average 26 % of the purchase price. This amounts to many million rupees in certain cases. describe how the Stores and Inventory Management function can contribute to an organization in cost savings and enhancing its profitability.

problem 3:

(a) Maintenance of security in the stores and inventory management function is essential to protect against malicious damages and losses. describe the preventive measures which should be taken to prevent such damages and losses.

(b) Describe and measure the causes of obsolete and redundant stock. Discuss and describe four preventive measures that diminish the occurrence of such items.

problem 4:

Supply chains have rapidly evolved over the last decades and inventory is often substituted with information. Discuss and describe three (3) modern replenishment models that have successfully accomplished the corporative objectives of organisations by balancing supply against demand.

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