Research On Improvement Of Inventory Control In ZR Company

In recent years, with the increasingly advanced science and technology and the rapid development of overall economy, logistics, as the third profit source, has a more and more profound impact on China’s economy. Inventory control, as an important part of logistics, is being paid attention gradually. In the meantime of acquiring material supply guarantee, trying to reduce the investment of people, wealth and goods and keeping the inventory control in a reasonable scope have become one of the important means of modern enterprise competition. Nowadays, with the rapid development of the automobile industry, the automobile manufacturers must have the ability of quick response to the market demand if they want to grow and develop continually in the fierce market competition. How to carry through the inventory control effectively and ensure the production at the greatest extend has become every automobile manufacturer’s urgent affairs. Due to the bicycle profit’s decline, how to find new profit growth point from the field of logistics has gradually become the core problem of automobile enterprise.This dissertation regards ZR Company as the research object, which is a Sino-Japanese joint venture automobile manufacturing enterprises in Zhengzhou, Henan. Firstly, it describes the relevant theory of inventory and inventory control and discusses the methods of inventory control, especially the common method of inventory control for automobile industry. Secondly, it introduces the basic information of ZR company, and focuses on introducing the present situation of the control as well as inventory control problems existing in ZR company from purchasing raw materials, WIP and finished goods. At the same time, it analyzes the main problems of ZR inventory control which mainly reflects in the low inventory turnover rate, lack of effective classification management in purchasing materials, a single procurement strategy, lack of effective cooperation with suppliers, high work-in-process inventory, incorrect prediction for finished goods, lack of management for custom made orders and so on. On this basis, through the ABC classification management, Vendor Managed Inventory (VMI), CPFR and other methods, it proposes specific measures to improve inventory control of ZR company from purchasing materials, WIP and finished product and evaluates the effects of the new measures. I hope this dissertation has certain model significance to the inventory control for other automobile manufacture enterprises.