Inventory management system of a finished product warehouse to reduce possession costs

Abstract

In the present investigation it was possibleto establish and implement the activities for the adequate management of inventories that allowed to reduce the possession costs associated with the warehouse of finished products. The research was of the applied type with a longitudinal pre-experimental design. As a population, we considered the data on the possession costs of the finished product warehouse and, as a sample, the corresponding data for 2016. Establishing the inventory management system considered applying administrative tools to know the quantitative and qualitative characteristics of the management of inventories; establish the classification of the products through the ABC analysis and apply the System Layout Planning (SLP) methodology.It was determined that category A (4 products) represented 77.39%. It was determined that the average amount of labor should be 4 people estimating an annual saving of 9,000 soles. An over stock level of 1,259 boxes of canned fish whose value amounted to 112,051.00 soles was calculated and an over-stock savings of S /. 16,807.65 (15%). Likewise, the investment in equipment for inventory management in the warehouse achieved an annual saving of 8,308 soles. Finally, having an inventory management system allowed for an annual saving of 34,115.65 soles (28.80%).