Significance of Materials Management in Industries Construction
M. Veera Krishna
Dr. K. Sambasiva Rao
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Abstract
As a result of LPG (Liberalization, Privatization and Globalization) the companies are searching for
alternative ways to stay competitive. This study goes through the process of analyzing the companys
current forecasting model and recommending an inventory control model to help them solve their
current issue. As a result, an Economic Order Quantity (EOQ) and a Reorder Point was
recommended to help them reduce their product stock outs. The shortage of raw material for
production always makes the process discontinuous and decreases the productivity. The ABC analysis
technique for the inventory control system is first used to identify the most important multiple
products and then the economic order quantity (EOQ) of each product is developed to find their
inventory model equation individually.
Keywords: Demand and Sales; Economic Order Quantity; Inventory; Production
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