Controlling inventories are vital in the logistics activity mix.
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Effective & well managed Inventories are the foundation stone for the success of many Logistics Activity or Business. Most of revenue & profit depended only on the Controlling , Scheduling , planning & execution of inventories because if one thing or single order goes wrong then whole supply chain will be effected & in turn it will hamper the time , money & labour equally .
Hence the investment in inventories control & its performance will always paid a well in long run for business & will enhance the logistics activity in right direction which guides the revenue north wards always.
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In modern industry, inventory control is very important aspect of logistical activity. If for example a particular raw material or spare is required in small quantities, or infrequently, then maintaining large stocks of such items is not necessary as it would block working capital unnecessarily. On the other hand, items or spares that are required in larger volumes or numbers, higher stocks for them would have to be maintained.
Similarly, finished goods that move at a faster pace in the market would entail maintenance of higher stocks than slow-moving items as the former would have a higher sales and faster realisation turnover than the latter.
Similarly, finished goods that move at a faster pace in the market would entail maintenance of higher stocks than slow-moving items as the former would have a higher sales and faster realisation turnover than the latter.
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