Duration 2 Days – 16 hrs.
Overview
Material Planning and Inventory Management are critical functions in supply chain and operations management that ensure the right materials are available at the right time, in the right quantity, and at optimal cost. Effective planning and inventory control help organizations minimize stockouts, reduce excess inventory, improve operational efficiency, and support business continuity.
This training course provides participants with practical knowledge and tools to effectively plan material requirements, manage inventory levels, and optimize supply chain operations. Participants will learn modern inventory management techniques, forecasting methods, inventory control systems, and best practices for maintaining efficient warehouse and supply operations.
Through case studies, practical exercises, and real-world examples, participants will gain the capability to improve inventory accuracy, reduce carrying costs, and enhance overall operational performance.
Objectives
- Understand the principles of material planning and inventory management
- Apply demand forecasting techniques to support inventory planning
- Identify appropriate inventory control methods and stock policies
- Optimize inventory levels while minimizing operational risks
- Improve warehouse coordination and materials flow
- Implement inventory performance metrics and monitoring systems
- Apply best practices in supply chain coordination and material planning
Target Audience
- Supply Chain Professionals
- Inventory Controllers and Planners
- Procurement and Purchasing Officers
- Warehouse and Logistics Managers
- Production and Operations Managers
- Materials Coordinators
- Distribution and Logistics Staff
Prerequisites
- Basic understanding of business operations or supply chain processes
- Experience in warehouse, logistics, procurement, or production environments is beneficial but not required
Course Outline
Module 1: Introduction to Material Planning and Inventory Management
- Role of materials management in business operations
- Importance of effective inventory control
- Key concepts and terminology in inventory management
- Relationship between procurement, warehouse, and production
- Inventory lifecycle and material flow
Module 2: Demand Forecasting and Planning
- Fundamentals of demand forecasting
- Types of demand (independent vs dependent demand)
- Forecasting methods and techniques
- Demand variability and seasonality
- Aligning forecasts with production and procurement plans
Module 3: Inventory Control Techniques
- Inventory classification methods (ABC Analysis)
- Economic Order Quantity (EOQ) principles
- Safety stock and reorder point calculations
- Inventory turnover and stock level management
- Managing slow-moving and obsolete inventory
Module 4: Material Requirements Planning (MRP)
- Overview of Material Requirements Planning
- Components of MRP systems
- Bill of Materials (BOM) and inventory records
- MRP scheduling and planning logic
- Benefits and limitations of MRP
Module 5: Warehouse and Inventory Operations
- Warehouse layout and inventory organization
- Stock receiving, storage, and issuing procedures
- Inventory tracking and stock movement control
- Cycle counting and stock audits
- Inventory accuracy and record management
Module 6: Inventory Optimization and Cost Management
- Inventory carrying costs and ordering costs
- Stock optimization strategies
- Just-in-Time (JIT) inventory management
- Lean inventory principles
- Balancing service levels and cost efficiency
Module 7: Inventory Systems and Digital Tools
- Introduction to inventory management systems
- Enterprise Resource Planning (ERP) integration
- Barcode and RFID technologies
- Automation and digital inventory tracking
- Data analytics in inventory management
Module 8: Performance Monitoring and Continuous Improvement
- Inventory KPIs and performance metrics
- Stock turnover ratio analysis
- Service level and fill rate monitoring
- Continuous improvement in supply chain operations
- Best practices in inventory governance
