IDEAS home Printed from https://ideas.repec.org/a/ids/ijires/v4y2017i1p61-74.html
   My bibliography  Save this article

Assessment of inventory class performance utilising inventory turn and days on hand

Author

Listed:
  • John Solomon Jatta
  • Krishna Kumar Krishnan

Abstract

Inventory performance is typically based on individual SKU rather than on class of SKUs. This research evaluates ABC inventory classes for performance based on class inventory turn. Multiple multi-criteria inventory control (MCIC) models are used to classify 47 stock-keeping units into A, B, and C categories and their ABC classes' annual performance evaluated for each model. The results show that A-class consistently has highest turns than B and C classes. For the eight models evaluated all but the R-model show higher turns for A class than both B or C class. B and C classes turn inventory relatively the same number of times with the exception of the R-model. The R-model turns C-class inventory higher than A-class or B-class inventory contrary to ABC principles. The results show that inventory classification can be limited to A and B classes instead of the numerous classes sometimes recommended and practiced in many firms.

Suggested Citation

  • John Solomon Jatta & Krishna Kumar Krishnan, 2017. "Assessment of inventory class performance utilising inventory turn and days on hand," International Journal of Inventory Research, Inderscience Enterprises Ltd, vol. 4(1), pages 61-74.
    • Handle: RePEc:ids:ijires:v:4:y:2017:i:1:p:61-74
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=85369
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijires:v:4:y:2017:i:1:p:61-74. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=178 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.