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TitleEASTMAN Final Project1
Tags Industries Inventory Production And Manufacturing Business Economics
File Size4.9 MB
Total Pages76
Table of Contents
                            ACKNOWLEDGEMENT
(1.1) EASTMAN CAST & FORG AT LUDHIANA PLANT
	Products
		CHAPTER :- 2
ABC Procedure for Categorizing of Inventory
Advantages of the ABC Inventory System
The advantages of the ABC system are as follows:
	CHAPTER :- 3
	(3.4) LIMITATIONS OF THE STUDY
	Due to constraints of time & resources the present study is likely to suffer from certain limitations some of these are mentioned below, so that study can be understood in a proper way:
		CHAPTER :- 4
		CHAPTER :- 5
                        
Document Text Contents
Page 1

Ju
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. 2
4

iWcap

A

SUMMER TRAINING PROJECT REPORT

ON

INVENTORY MANAGEMENT

Submitted in the partial fulfillment of the requirement for the award of degree of

Master of Business Administration,

Punjabi University, Patiala.

Submitted By:

Tinu Joshi

Roll Number: 10110125028

Uni. Reg. No.

MBA 3rd Semester

Under the guidance of:

Mr. Sunil Kumar Sharma

Finance Manager

Eastman Cast & Forge Ltd. Ludhiana

DESH BHAGAT INSTITUTE OF MANAGEMENT AND COMPUTER SCIENCES,

MANDI GOBINDGARH

2011

Page 2

DECLARATION

I_____________________________________ Roll No __________________ a full

time bonafide student of Master of Business Administration (MBA) Programme

of Desh Bhagat Institute Of Management And Computer Sciences, Mandi

Gobindgarh. I hereby certify that this project entitled Inventory Management

carried out by me at_________________________________________________. The

report submitted in partial fulfillment of the requirements of the programme is an

original work of mine under the guidance of the industry guide

_________________________________________________________________

and is not based or reproduced from any existing work of any other person or on any

earlier work undertaken at any other time or for any other purpose, and has not been

submitted anywhere else at any time.

Date: - Name & sign of student

Roll No

59

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7. To design proper organization for inventory management. A clear cut

accountability should be fixed at various level of the organization.

8. To ensure perpetual inventory control so that material shown in stock ledger

should be actually lying in the stores.

9. To ensure right quality goods at reasonable prices. Suitable quality standards

will ensure proper quality of stocks. The price-analysis, the costs-analysis and

value-analysis will ensure payment of proper prices.

10. To facilitate furnishing of data for short-term and long-term planning and

control of inventory.

(2.3)Tools and Techniques of Inventory Control Management:

1. Determination of Stock levels.

2. Determination of Safety Stocks.

3. Selecting a proper System of Ordering for Inventory.

4. Determination of Economic Order Quantity.

5. A.B.C. Analysis.

6. VED Analysis.

7. Inventory Turnover Ratios.

8. Aging Schedule of Inventories.

9. Classification and Codification of Inventories.

10. Preparation of Inventory Reports.

11. Lead Time.

12. Perpetual Inventory System.

13. JIT Control System.

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1. Determination of Stock levels :

(a) Minimum Level: This represents the quantity which must be maintained in

hand at all times. If stocks are less than the minimum level then the work will

stop due to shortage of materials. Following factors are taken into account

while fixing minimum stock level:

Lead Time: A purchasing firm requires some time to process the order and

time is also required by the supplying firm to execute the order. The time

taken in processing the order and then executing it is known as lead time . It

is essential to maintain some inventory during this period.

Rate of consumption: It is average consumption of material in factory. The

rate of consumption will be decided on the basis of past experience and

production plans.

Minimum stock level= Re-ordering level-(Normal consumption×Normal

Re-order period).
Nature of Material: The nature of material is also affects the minimum

level. If a material is required only against special orders of the customer then

minimum stock will not be required for such materials. Minimum stock level

can be calculated with the help of following formula:





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Page 75

BIBLIOGRAPHY

BOOKS:-

1) Goel, D.K., Management Accounting & Financial Management, Avichal

Publishing Company, 2008.

2) Bhalla V.K., Working Capital Management, Anmol Publication Pvt. Ltd., 2007.

3) I.M. Pandey, Financial Management, Vikas Publishing House (P) limited, New

Delhi, 9th edition, 2006.

WEBSITE:-

1) www.ECFLhandtool.com

2) www.Wikipedia.org

3) Investopedia.com

4) Study finance.com

5) Google.com





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