A small investment in time to improve your inventory performance

We hope these questions will help you identify and consider the key
priorities for your inventory.

Inventory Matters have designed this questionnaire to help identify

where the opportunities exist to improve your MRP and inventory
performance.

It may be that you cannot complete all the questions and may needs
help form other colleagues within you business.

If you wish Inventory Matters can take your completed questionnaire,

review it and give you an brief assessment on the potential to improve
you inventory
 Supply / Demand profile

1 = very stable 1 2 3 4 5
5 = very unstable

Is your demand stable

What proportion are Approx %age by value

Runner (regular daily / weekly orders)
Repeater (Regular weekly / monthly orders)
Stranger (rarely orders / ad-hoc)

Are you principally Approx %age by value

Make to order

Make to stock
Contract manufacturer

Assemble to order

Assemble to Stock

Contract assembly

Other – please state

1 = very flexible 1 2 3 4 5
5 = very inflexible
How flexible are your suppliers

Capacity
Schedule management

Who sets your MOQ Approx %age of parts What Approx

proportion of %age
Supplier dictates (a technical reason) deliveries of
Negotiated (based on cost) come from value
We dictate (a technical reason) UK

EU
What proportion of deliveries are regular %age of deliveries
Eastern EU
Scheduled time slots
Latin America
Daily
USA
Weekly

Monthly or more Far East

 Business System Management

How many parts Active Total

Finished Goods (Saleable)

Sun Assemblies Stocked
Raw Materials / Purchased Components

Which parameters in MRP do you use Regularly Rarely Not Used Don’t Know
Batch
FOQ / Min Order Quantity
EOQ (Calculated)

Multiple / Pallet

Order Period

Safety
Safety Quantity

Safety Time

Lead-time
Manufacturing

Purchasing

Administration

Do you Re-Order point control on any parts %age of parts

Yes
No

Who Manages the parameters %age of parts

Planner
Buyers
Engineer
Other – Please state

Is there a formal review process to update the Yes No

parameters

If Yes - How often Year Month Weekly Daily

If No – how are they updated
 Inventory and Capability

What is the value of your inventory Active Obsolete

Finished Goods (Saleable)

Sub-Assemblies (Stocked)
Raw Materials / Purchased Components
Last Year This year (projected)
What is the Cost of Good Sold (COGS)

What is the Raw Materials budget

Inventory Management Techniques Tick as appropriate

Do you use ABC / Pareto control Regularly Rarely Not Used Don’t Know
If Yes Tick as appropriate
Is the Pareto based on Stock Value Annual Usage Value Annual Usage Quantity

Do you use Runner / Repeater Classification Regularly Rarely Not Used Don’t Know
Business Process Capabilities Tick as appropriate
Are you ISO 900 (or other standard) compliant Yes No Don’t Know
Do you measure the performance of your business processes
If Yes list 4 key KPI’s Current Performance
1
2
3
4
Do your staff have objectives linked to the business KPI’s Yes No Don’t know
Do you have current initiatives that are improving your
Manufacturing Processes (Lean / Agile) Yes No Don’t Know

Order Administration (Lean Business) Yes No Don’t Know

Supply Chain Processes / Supplier relationships Yes No Don’t Know

How much can you increase your capacity 10% 25% 50% 100% No Constraint
with out investment in …
Order processing (Customer / Supplier)
Assembly
Manufacturing (Machine Shop)
Good Inwards
Stores / Despatch
 Personal / Business Profile

Personal Details
Title
First Name
Surname
Job Title
Your e-mail
Your Mobile Number

Your Office Number

Preferred method of contact Phone Mobile E-mail

Business Details
Business Name
Business address

Post town
Postcode
Website
Business description

All data will be treated as commercial in confidence and will only be used in direct discussions
between your company and Inventory Matters Ltd
 What we can do with the
information you have supplied

• High level inventory assessment

Based on your cost of sales and ABC inventory planning

• Identify the potential for inventory and capability

improvement
Compare your actual inventory with the ABC benchmark
Estimate your ability to increase capability to allow inventory reduction

• Evaluate the size of the inventory opportunity

Current • Larger batches mean infrequent
Inventory replenishment and more buffer for
process failure

Current • As the process capability increases the

X Capability replenishment cycle can become more
1
frequent
Inventory

3
• To plan inventory we need to:
– Understand the current inventory
Optimum – Understand the current capability
Range – Determine the optimum range

• To deliver the plan we need to

Capability 1. Identify excess inventory
2 2. Improve the business capability
3. Reduce inventory in line with capability

We would be delighted to review the completed questionnaire and complete an

initial review with your management team.
If you are interested in arranging a complimentary workshop session please
return the completed questionnaire to

Geoff Relph or contact Geoff on 01386 710110

Inventory Matters Ltd,
Kents Barn, e-mail: geoffrelph@inventorymatters.co.uk
Pershore Rd,
Great Comberton,
PERSHORE,
Worcestershire,
WR10 3DX