Inventory forecast and Ordering Process Improvement in a Supply chain. Case Study: Kistal Equipment Supplies Limited, Nigeria.

Abstract

With the increasing level of focus and attention shifted to inventory in the supply chain industry recently, and together with the pressure to reduce the level of stock-out for products demanded by customers, thereby improving the supply chain of manufacturing equipments and spares in a sustainable manner, the theme about improving customers and consumers satisfaction in the first moment of truth is garnering unprecedented attention. The result is the subsequent increasing interest in researching the issue, with the aim of providing sustainable solutions. The study of inventory forecasting and the improvement of ordering processes in supply chain is therefore of great importance to supply chain organisations and industries seeking to increase the effectiveness and productivity level of their operations while reducing/eradicating all cost related losses. By improving the ordering processes to as close as 100% waiting time eradication, huge cost savings is realisable in the form of shorter delivery lead-time within the supply chain operations, thereby improving supply chain productivity and effectiveness through out-of-stock reduction and obsolete inventory reduction and eradication. The case study is the supplies of equipments and spares by kistal equipment supplies limited to its customers in the manufacturing operations in Nigeria.