1 Inventory Calculation Screen

1. Enter maximum inventory days and safety inventory days by rank. 2. Enter the number of inventory items not included in the shipping data . 3. Calculate and output the average daily shipping volume that serves as the basis for calculations. 4. Calculate inventory days during stable operation. Inventory volume during stable operation (storage volume) = Safety stock + (Fluctuous inventory/2) Fluctuating inventory = Maximum inventory - Safety stock (see Section 2) . 5. Calculate inventory volume during stable operation. Inventory volume = Daily shipping volume * Inventory days during stable operation 6. Calculate inventory volume per item. Inventory volume per item = Inventory volume / Number of items. 7. Required pallet conversion number and determination of single/mixed loading. 8. Calculate the number of incoming items and volume . Number of incoming items = Number of inventory items / Incoming cycle. Incoming volume = Outgoing volume. Calculate incoming volume (for checking). Click the inventory volume radio button to display inventory volume. Click the incoming volume radio button to display incoming volume. 9. Click the Excel button to save inventory and incoming data to Excel.

The above explanation uses bulk shipments as an example, but the same calculation applies to case shipments.
Note: Inventory not included in shipments is included in bulk shipments, and for case shipments, inventory not included in the shipment data is set to 0. As mentioned above,

the observation

"Inventory = Cumulative Incoming - Cumulative Outgoing" is important, but the key is to manage incoming quantities while looking at shipping trends on an item-by-item basis. There
are factors that make it impossible to limit incoming quantities, such as price changes due to production lots and purchase quantities, and advance purchases due to sales strategies.

Looking at the company as a whole, reducing inventory at distribution centers is not the top priority, and the amount of incoming goods is determined by coordination between the sales and purchasing departments, so the company's overall management capabilities are reflected in inventory
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