Upon completion of this course, participants will be able to:

• Integrate demand forecasting with inventory policy setting across the supply chain network.
• Apply different inventory control systems (periodic review vs. continuous review) effectively.
• Conduct comprehensive inventory valuation and understand its financial statement impact.
• Analyze and resolve common inventory management challenges such as excess, surplus, and obsolete (ESO).
• Design and execute a successful **Inventory Accuracy Improvement** project.
• Understand the role of inventory in Lean systems (e.g., Kanban) and its contrast with traditional systems.
• Develop key inventory performance metrics (KPIs) and dashboard reporting for senior management.
• Evaluate the impact of lead time variability on safety stock and service level achievement.
• Manage inventory for specialized items (e.g., spare parts, MRO, seasonal goods).

• Inventory Control Managers and Directors
• Supply Chain Vice Presidents and Senior Leaders
• Logistics and Distribution Planners
• Finance Controllers and Cost Accountants
• Production Planning and Scheduling Supervisors
• ERP/WMS System Implementers and Power Users

• Quantitative simulation of inventory control systems (Q and P models) under variable conditions.
• Group activity: developing an inventory reduction strategy for a high-value product category.
• Case study analysis of an inventory-related financial misstatement.
• Individual assignment: drafting a clear inventory policy document for a new product line.
• Expert led discussion on the integration of WMS/ERP with inventory management.

Unit 1: Inventory Strategy and Financial Impact

• Valuation methods: FIFO, LIFO, Weighted Average Cost, and their impact on COGS
• The inventory balance sheet account: assets, liabilities, and working capital cycle
• Managing inventory to meet financial targets (e.g., inventory turns targets)

• Matching inventory policy (e.g., Make-to-Stock, Make-to-Order) to product strategy
• Defining and measuring customer service levels (fill rate, line item fill, order fill)

Unit 2: Forecasting, Uncertainty, and Safety Stock

• Understanding and mitigating the **Bullwhip Effect** across the chain
• The relationship between forecast error and required safety stock investment

• Applying advanced models for non-normal demand distributions
• Modeling lead time variability and its impact on uncertainty and risk
• Determining the cost of stockouts and using it to justify service levels

Unit 3: Inventory Control Systems and Execution

• Continuous Review (Q) system: EOQ and ROP in practice
• Periodic Review (P) system: setting the review interval and target stock level
• Implementation of two-bin, min/max, and other visual control systems

• Advanced applications of MRP II (Manufacturing Resource Planning)
• Introduction to **Advanced Planning and Scheduling (APS)** systems

Unit 4: Inventory Accuracy and Auditing

• Designing and staffing a dedicated inventory control team
• KPIs for cycle counting performance (accuracy, count coverage, location accuracy)
• Integrating cycle counting results with the financial ledger and audit trail

• Auditing the physical process: receiving, putaway, picking, and shipping controls
• Managing inventory in transit and consignment inventory

Unit 5: Specialized Inventory and Improvement Projects

• MRO (Maintenance, Repair, Operating) spares inventory management
• Managing perishable, volatile, and high-value inventory

• Designing an **Inventory Accuracy Improvement Project** roadmap
• The financial justification for investing in inventory management technology