Inventory at a manufacturing facility consists of products expecting purchase. There are several factors that affect the inventory of an organization which varies according to the cost damage and efficiency of the supply chain manager. There is mainly two kind of inventory management first in first out and last in first out. The different types of inventory are described as follows.
Block Stacking method of inventory management starts with a pallet on the floor. This kind of inventory will be having minimal costs as there is no need for additional equipment. However, accessing the inventory is a bit difficult as the front top stack can be accessed at any given time. This kind of inventory management is typically used in cases where the quick selling Â is possible. At the time of storing it should also be considered that the same kind of products is stacked one over the other for easy handling purpose.
Rack Storing method of inventory management utilizes tying racks based on whether the movement is first in first out or last in first out. The last in first out method utilizes the racks to be stored in a drive-in method which are usually closed at the upper level. Employees usually take the racks from only one end in this type inventory management.
In Shelves and Bin type of inventory management, the management is more flexible and mobile. Aisle savers are often used in shelves and bin type of inventory management. Usually, push buttons or automatic movement is done to move the inventory to the operator. Several bins can be used for storing inventory in smaller quantities. A central storage inventory management system in the warehouse or stockroom can be easily checked by the employees and tracking is more efficient. One of the disadvantages of this kind of inventory management is the safety concerns.