Excess and Obsolete Inventory KPI for Operative Buyers: Control E&O Exposure
Learn how operative buyers control excess and obsolete inventory using E&O exposure, action coverage, open commitments, prevention, recovery and root-cause data.
Knowledge Base
Tag: inventory management
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Working Capital in Procurement: A Practical Guide for Buyers
Learn how procurement influences working capital through inventory, payment terms, lead times and order quantities, with practical actions for operative buyers.
From Gross Demand to Net Demand: An Operative Buyer Case at LHTS AB
Learn how gross demand becomes net demand, a purchase requisition and finally a purchase order in this practical operative buyer case at LHTS AB.
How Procurement Can Optimize Operating Capital with A, B and C Management
Operating capital (working capital) becomes a procurement issue when cash is tied up in purchased materials, advance payments, unfinished supplier work, excess commitments, or inefficient payment processes. For a procurement manager, the objective is not simply to reduce inventory or delay supplier payments. The objective is to release cash without creating supply interruptions, quality problems, higher…
Vendor Managed Inventory in Procurement: When VMI Works and How to Implement It
Learn what Vendor Managed Inventory means in procurement, when VMI works, how it differs from consignment stock, and what buyers should include in a VMI agreement.
Economic Order Quantity in Procurement: How Buyers Balance Order Quantity, MOQ and Inventory Risk
Economic Order Quantity helps buyers calculate a cost-efficient order quantity, but EOQ is only one input. Learn how operative buyers balance EOQ with MOQ, ABC priority, safety stock, lead time, forecast reliability and inventory risk.
Material Requirements Planning in Procurement: How Operative Buyers Use MRP Signals
A core component of ERP systems is Material Requirements Planning (MRP), which ensures that the right materials are available at the right time for production.
Where-Used Function in Procurement: How Buyers Use BOM Data to Understand Impact
One of the critical functions of ERP software is the Where Used function (collection BOM) for buyers, which helps buyers understand product data and inventory.