From the course: Inventory Management Foundations

Unlock the full course today

Join today to access over 23,200 courses taught by industry experts.

Collaborative inventory management

Collaborative inventory management

From the course: Inventory Management Foundations

Start my 1-month free trial Buy for my team

Collaborative inventory management

“

- "Alone we can do so little, together we can do so much." That quote comes from Helen Keller, the American author and lecturer. This thought has been successfully applied to business operations for years. Helen Keller's message is actually a good description of the goal of effective supply chains. Suppliers, manufacturers, and distributors working together to deliver products that customers want to buy. And collaboration certainly can benefit your inventory management efforts. Home Depot provides an excellent example of collaboration in practice. Using their point of sale data, data collected from cash register transactions, Home Depot creates their replenishment plan. The plan sets maximum inventory levels based on sales and supplier delivery times. Because the plan is so accurate over 85% of orders are delivered directly from the supplier to a Home Depot store, avoiding the usual stop at a distribution center. By…

Contents