Chemical Industries
Issues and Challenges:
- Unable to track the inventory accurately as there were more than 20,000 items in the inventory list for management at the plant and warehouse.
- Stock control staffs had a hard time to locate the correct inventory at the warehouse hence time consuming.
- Poor shelf life control for the inventory due to First-In-First-Out (FIFO) was not applied at all times and caused wastage.
- Inventory tracking for warehouse was tough due to the current warehouse system unable to track the product Serial Number, Batch Number and Expiry Date.
- More costs were involved when items were used at the wrong way or customer received the wrong items.
- Poor space utilization for inventory storage.
- Poor inventory management resulting inaccurate inventory data.
Their Objectives | What they have achieved |
---|---|
To reduce Searching Time | Locate items within seconds |
To reduce Wastage | Reduce 90% of wastage |
To implement FIFO inventory control | Fully compliance |
To improve inventory tracking | 100% compliance with ISO standard |
To increase productivity | Reduce head counts and overtime |
To improve Storage Space Utilization | More item storage within same warehouse |
To improve Inventory Accuracy | Above 97.5% accuracy |