Comprehensive approach to the inventory control system improvement

This paper describes a methodology for inventory analysis and reduction, which was developed at the Department of Industrial Engineering, Faculty of Mechanical Engineering, University of Zilina. The methodology describes the optimal procedure for the application of basic analytical methods and tools in practice. The results of the analysis are in the algorithm linked to the subsequent actions realized to improve inventory management system and to minimize inventory level in the company. Described procedure is the result of methodology examination and verification in practical conditions of production enterprises. In the following sections of this paper, there are presented a comprehensive approach to the inventory analysis and the own algorithm, which contains 3 phases: inventory analysis on enterprise level, summary analysis of individual item groups and individual analysis of material items. In the last section, there are described examples of results from such analysis and conclusions. The presented approach is an attempt to create a universal procedure of analysis which integrates methods and tools described in various publications.