I Company Inventory Management Research Based On JIT And VMI

With the more and more fierce worldwide competition brought by global economic integrity, some related research proves that these years, China’s state-owned enterprises capital size has gone up while the capital turnover rate remains decreasing. Inventory turnover rate is a key indicator to reflect cash flow efficiency. Cash is the most crucial for business running. I company is working for US and European OEM/ODM whose business occupies80%sales volume,20%is about its own designed products. Sales demand changes largely in the electronics trade, so to easily make it happen that material inventory can not meet production needs. In short, the aim of inventory management is to control inventory on the premise the customers are fully satisfied, and lower the inventory level to enhance the efficiency of the logistics system to strengthen the competitive power of the company. I company needs to improve its inventory management.In this thesis, it is analyzed how JIT purchase and VMI can be adopted in I company, it is found that I company has inventory management in the multiple links of the supply chain and lack communication between the links, thus I company can not promptly meet the customers requirement and makes the inventory expenditure increase. It’s very serious for the company development in the long run. In the thesis, I try to make an effective plan for I company to use JIT purchase and VMI at the most to help the company achieve maximum profit and customer contentment, and also to provide reference for the companies in the same trade.