Are you of the opinion distribution and storage costs, when you design products? Can you inform your customers when their orders will arrive? Do you know what type of enterprise resource planning systems to use your dealers? If not, you have succumbed to the pitfalls of inventory management. You are not alone. The manufacturers have focused on the quality of incoming and outgoing materials products, but they have not been paying as much attention to the costs associated with transportation and storage are connected by them. … Read more »

Are you of the opinion distribution and storage costs, when you design products? Can you inform your customers when their orders will arrive? Do you know what type of enterprise resource planning systems to use your dealers? If not, you have succumbed to the pitfalls of inventory management. You are not alone. The manufacturers have focused on the quality of incoming and outgoing materials products, but they have not been paying as much attention to the costs associated with transportation and storage are connected by them. 14 describes the pitfalls of supply chain management and some corresponding opportunities. The more complex the network of suppliers, producers and distributors, the sooner you can gain operational efficiencies by taking part in inventory.
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from
Corey Billington,
Hau Lee
Source: MIT Sloan Management Review
11 pages.
Release date: 01 April, 1992. Prod #: SMR005-PDF-ENG
Managing Supply Chain Inventory: Pitfalls and Opportunities HBR case solution