Expert Certification Course

Managing Inventory & Cycle Count

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Managing Inventory & Cycle Count

Best For 
  • Managers
  • Students
  • Engineers

Course Description

Course Description

Traditionally, a drop-in consumer demand would cause a short-term build-up of inventory. But businesses would eventually compensate by cutting orders and manufacturers would produce less. Inventory management is critical to success in the simulation. With respect to your team, discuss how you decide to balance the risk of stock outs against the costs of maintaining excess inventory. A review is done to consider the cash flow of a firm. This short-term financial consideration often creates serious difficulties for firms in the footwear industry. Looking at your industry to date, consider the following questions: Why do firms have trouble managing their cash flow? What events cause a cash flow crisis in the simulation? How does a short-term cash flow crisis impact a firm’s competitive strategy? How does a short-term cash flow crisis spiral into bankruptcy for some firms?

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