INVESTIGATING THE DYNAMICS OF AN INVENTORY SYSTEM IN THE MANUFACTURING SECTOR: A CASE STUDY

M.K.O. Ayomoh, O. Oladeji, S.A. Oke

Abstract


ENGLISH ABSTRACT: Research on inventory systems has steadily increased over the past several decades as professionals seek to optimise the limited resources associated with inventory management. Recently, an international automobile windscreen manufacturing plant in Nigeria that is facing intense international competition has sought to improve its operational efficiency and profitability. The management has considered system reengineering as a viable option. Hence, all the functional units in the organisation have to be transformed. This has stimulated the present study on inventory. The study proposes a classic industrial engineering methodology in quantifying the balance between holding too much and too little inventory. In particular, industrial dynamics is used as a method of analysis. Improved cost figures are reported on the existing system.

AFRIKAANSE OPSOMMING: Gedurende die afgelope dekades was daar 'n toename in navorsing oor die optimisering van beperkte bronne vir voorraadsisteme. Onlangs het 'n Nigeriese internasionale windskermvervaardiger gepoog om die doeltreffendheid en winsgewendheid van hulle onderneming te verhoog teen 'n agtergrond van intense internasionale mededinging. Om dit te bereik, het die onderneming besluit om te herorganiseer en al die funksionele produksie-eenhede te transformeer. Sodoende is die voorraadvraagstuk ook onder die loep geneem. Die navorsing het gevolglik voorraadhou en -tekortekoste bestudeer as 'n dinamiese verskynsel. Hiervoor is betroubare praktykgegewens en die welbekende Industriedinamika gebruik as die ontledingsmetode. Die navorsing het verbeterde kosteresultate bewerkstellig.


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DOI: https://doi.org/10.7166/15-1-235

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