Study On Using Six Sigma Method Toincrease Inventory Turnover Rate

Inventory impacts enterprises with positive and negative effect. Failed control on inventory would cause less stock which will miss delivery, dissatisfy customers and loss sales opportunity and would cause over stock which will occupy too much capital. So inventory management is a very important subject for each enterprise. Inventory turnover rate is one of the important measures of inventory management.Six Sigma is a new scientific precise effective thoughtway which born for business and the time and continuously get developing improving from business practice. Through systematically and intergratively using late management theory, late design idea, engineering and statistics tool, six sigma can carry out no-defect process and product design, eliminate defects and no-vale-added action from process, so as to improve quality, decrease cost, satisfy customers and make company competitive.Based on related theory and the real case from the C company, the thesis discuss how to combine six sigma theory and technique with inventory management and use in the real case to figure out a solution to optimize inventory management and increase inventory turnover rate in C company.Firstly, the thesis study on the integration of six sigma and inventory management and discuss the necessity, feasibility, technical problem and noteworthiness of the integration. Secondly, the thesis take 2 important measures of inventory management, inventory turnover rate and first pall fill rate, as the study subject of the project. Last, based on the real case and data in C company, the thesis use the DMAIC method of six sigma to analysis and improve inventory management process so as to increase inventory turnover rate in C company.The thesis is expected to proved reference to the decision-maker and management team of the company, as well as reference to solve the similar problem in similar company.