TNVENTORY OPTIMIZATION OF A FOREIGN

lnventory Optimization of a Foreign Company in the Philippines

TNVENTORY

OPTIMIZATION

OF

A

FOREIGN COMPANY IN THE PHILIPPINES

A thesis presented to the Graduate School of Business Holy Angel University, Angeles City

In partial

fulfillment

of the requirements for the Degree

Doctor of Business Management

Mava

-ffi

R.,Veisuru

October 2012

Inventory Optimization of a Foreign Company in the Philippines

Abstract

Inventory contributes the most considerable part of today's assets of RMD

Kwikform

Philippines. Determining the right amount of inventory to hold in which locations without extremes or shortages while reducing inventory cost and improving sales had become a fundamental concern for business thatrealize the need to become more demand driven and customer focused. It really becomes necessary to monitor inventories

economically to avoid the costs of variable material rates, sub- contracting, overtime, and avoidable cost of sales. The main objective of this study is to find out the inventory optimization that is available to optimize the inventory of RMD

Kwikform

Philippines and to understand using different existing tools and methods of optimization in inventory management. The study methods used include the ABC analysis and Material

Requirements Planning. These were accomplished by using QM for ^{Windows and Excel} program. Consequently, recommendations on the improvement of RMD

Kwikform

inventory policies were suggested.

Keywords: Inventory optimization, costumer focused, ABC Analysis, material requirements planning, inventory management.