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Index of Tables and Figures

Tables

Chapter 2: The Mechanics of Inventory Management

2-1Relevant Terms and Expressions

Chapter 3: The Financial Impact of Inventory

3-1The Impact of Reduced Inventory

3-2Examples of Actions and Their Impact

Chapter 7: The Spare Parts Storeroom

7-1Comparison of Demand Data

7-2Results for Scenario 1

Chapter 9: Inventory Process Optimization™

9-1Categories for Spares Inventory

Chapter 11: Case Studies

11-1Issues and Mitigation Actions

11-2Management Issues Identified

Figures

Chapter 2: The Mechanics of Inventory Management

2-1The Materials and Inventory Management (MIM) Cycle

2-2The Classic Theoretical Saw Tooth Diagram

2-3Actual Component Demand/Supply Chart

2-4The Normal or Gaussian Distribution

2-5Example ROP Calculation

2-6The Poisson Distribution

Chapter 3: The Financial Impact of Inventory

3-1The Traditional Inventory Tension

3-2The Cash Flow Cycle

3-3Example of the Asset Section of a Balance Sheet

3-4Example of a Calculation Sheet

3-5Blank Calculation Sheet

Chapter 4: People and Processes

4-1Simplified Supply Chain

4-2The MIM Cycle

Chapter 5: Policies and Procedures

5-1Confidence Level for Spares Availability

5-2Spares Category Decision Tree

5-3Spares Stocking Policy Checklist

Chapter 7: The Spare Parts Storeroom

7-1Demand Profile Without a Squirrel Store

7-2Demand Profile With a Squirrel Store

7-3Average Inventory Increases 264% with a Squirrel Store

7-4The Principles of Lean Thinking

Chapter 8: The 7 Actions for Inventory Reduction

8-1The Bath Tub Principle

8-2Double Loop Vs. Single Loop Learning

8-3The ‘7 Actions for Inventory Reduction’

8-4Action #1

8-5Action #2

8-6Action #4

8-7Action #5

8-8Action #6

8-9Action #7

Chapter 9: Inventory Process Optimization™

9-1The Inventory Process Optimization™ Method

9-2Cumulative Value Curve

9-3Pareto Principle Case Study A

9-4Pareto Principle Case Study B

9-5Summary of When to Apply Which Action

9-6The Process Acts as a Decision Making Filter

9-7The Step-by-Step ICR® Process

9-8Typical Inventory Review Spreadsheet

9-9An ICR® List Sorted by Bin Value

9-10Example Cumulative Value Curve

9-11An Expanded Spreadsheet

9-12The Completed Spreadsheet

9-13Software Makes It Easier to Track the Process

9-14Identify the Long Tail of Items that Add No Value

9-15Identifying the Over Stocked Items

Chapter 10: Execution: Taking Action to Achieve Results

10-1The Inventory Review Champion ‘Sweet Spot’

10-2The Sequence of Activity for an Inventory Review Program

10-3Inventory Program Reporting Template

10-4The Stock Decision Checklist for Engineering Inventory

10-5The Stock Decision Checklist for General Inventory

Chapter 11: Case Studies

11-1Four Stages Implementation Process

11-2Communicating Procedures

11-3The Process Implemented

11-4Pareto Results for Two Locations

11-5Example of Inventory Tracking ‘Dashboard’

11-6Initial Results

11-7Results Achieved Over Time

Smart Inventory Solutions

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