Webinar Details $199
- Webinar Length: 100 Minutes
- Guest Speaker: Michael W. Gozzo
- Topic: Purchasing, Taxation and Accounting
- Credit: CPE 2.00, ATAPU 2.00, ATATX 2.00
In today’s fast-paced economic environment, businesses are under increasing pressure to control costs while maintaining high service levels. One of the most substantial investments many companies face is inventory — and unfortunately, many efforts to reduce it yield limited, short-term results. This webinar explores why traditional approaches often fall short and how a deeper understanding of inventory drivers is key to unlocking long-term improvement. Backed by research showing potential for over 20% supply chain improvement, this session dives into the foundational principles that guide inventory decisions and investments.
Participants will gain insight into the core reasons behind inventory buildup and learn how various business functions influence these outcomes. By understanding and addressing the true root causes of excess inventory, organizations can implement sustainable changes that deliver measurable results. Whether you're in supply chain, operations, or finance, this webinar provides the tools and strategies to optimize your inventory and reduce waste without sacrificing service levels.
Your Benefits for Attending:- Determine what the Cost of Carrying Inventory is and why it’s essential to understand.
- Identify the most appropriate replenishment technique for your operation.
- Understand various order quantity approaches and their best-use scenarios.
- Learn how to interpret different inventory performance measurements.
- Discover the level of investment needed to achieve 99% customer service.
- Gain strategies to control and correct inventory accuracy errors.
Why this webinar is a benefit to attend:
You’ll walk away with actionable knowledge that enables smarter inventory decisions, driving both cost reduction and service excellence across your organization.
- Introduction
- Some Key Questions 00:02:10
- Outline 00:03:38
- Course Objective 00:04:33
- 1. Planning For Inventory Today & The Supply Chain 00:05:52
- Business Strategy - Affecting Inventory Decisions 00:07:31
- Business Strategy Continued 00:09:26
- 2. Inventory Management Considerations 00:11:10
- Inventory Objectives/Policies 00:11:57
- Ten Critical Inventory Issues 00:13:59
- The Future 00:16:48
- Preparing For The Future 00:19:52
- Skill Sets 00:20:33
- Technology 00:24:33
- Supplier Relationships 00:26:55
- How Are Those Definitions Employed? 00:29:03
- Manufacturing Strategy Effects On Lead Time 00:31:51
- Definitions Employed Continued 00:37:54
- The Functional Roles Of Inventory 00:39:42
- Function Of Continued 00:31:47
- Investment Considerations 00:44:22
- Investment Continued 00:45:08
- Stock Out Cost 00:47:42
- Inventory - Special Situation 00:49:28
- Special Situation - Policies 00:50:50
- The Role Of Inventory Control 00:52:11
- Exercise 1 00:53:12
- Exercise 2 00:54:45
- 3. Planning For Inventory 00:58:16
- Definition Of Safety Stock 00:58:44
- Purpose Of Safety Stock 01:00:38
- 4. Overview - Statistical Inventory Management 01:04:21
- Overview Continued 01:05:41
- Inventory Investment And Service Levels 01:06:33
- Service Level 01:08:39
- Approaches To Safety Stock 01:10:36
- Replenishment Of Inventory 01:14:49
- Statistical Safety Stock 01:16:43
- Replenishment - Max = Minimum + Order Quanity 01:19:16
- Replenishment Reorder Point Vs Minimum 01:24:45
- Replenishment - Determining Safety Stock 01:27:31
- Other Replenishment Systems 01:29:46
- Two-Bin System 01:30:02
- Kanban 01:31:28
- Perpetual Inventory Record 01:32:37
- Cost Of Carrying Inventory 01:34:10
- 5. Accountability For Inventory 01:35:48
- Accountability For Inventory 01:36:32
- Prerequisites For Accuracy 01:37:25
- How To Achieve Accurate Records 01:38:35
- Comparing Cycle Count & Periodic 01:39:18
- 6. Inventory Reduction Program 01:39:49
- Reducing Inventory 01:40:22
- Inventory Distribution/Classification 01:41:38
- ABC Classification 01:42:07
- Uses Of ABC Classification 01:42:52
- ABC Report 01:43:41
- Lead Time Reduction 01:46:24
- Elements Of Lead Time 01:47:53
- What Is Supplier-Managed Inventory? 01:50:17
- Objectives 01:51:34
- 7. Establishing Measurements 01:53:01
- Understanding Measurement Criteria 01:53:40
- Establishing Inventory Measurements 01:54:15
- Inventory Turnover 01:54:41
- Days Of Supply 01:55:15
- Measures Of Inventory 01:55:46
- Accuracy Measurements 01:57:53
- What Is Gross And Net Variance? 01:58:44
- How Calculated? 01:59:39
- Who Uses Which Variance & Why? 02:00:45
- In Summary 02:01:23
- Q & A 02:02:20
- In Conclusion 02:02:24
- Presentation Closing 02:03:26
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Michael W. Gozzo
Michael W. Gozzo provides consulting and training services to all levels of management and is a Supply Chain Specialist including Purchasing (Supplier Collaboration), Inventory Control and Production/Operations Management. With many years of practical international experience, he offers a supe [...]
CPE Credit
Aurora Training Advantage is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org.
For more information regarding administrative policies such as complaint and refund, and cancellation please contact our offices at 407-542-4317 or training@auroratrainingadvantage.com.
You must answer all questions during the webinar, view the recording completely and pass the test at the end with 70% correct answers to receive CPE credit.
ATAPU Credit
Aurora Training Advantage is offering continuing education points designed to recognize dedication to training and excellence in purchasing.ATATX Credit
Aurora Training Advantage is offering continuing education points designed to recognize dedication to training and excellence in accounting.ISM Credit
This program may be used for Continuing Education Hours (CEH) toward recertification for programs offered by the Institute for Supply Management®, including the Certified Professional in Supply Management® and Certified Professional in Supplier Diversity®.
QPANJ Credit
Qualified Purchasing Agent - New Jersey
- 80-20 Pareto Rule 01:41:47
- Accountability 00:03:53
- Cost 00:02:56, 00:11:53, 00:43:57, 00:48:31, 01:34:19, 01:54:10
- Enterprise Resource Planning (ERP) 00:20:47
- Forecast 00:14:32, 00:21:16, 01:10:12
- Inventory 00:00:08, 00:01:45, 00:02:58, 00:03:51, 00:09:58, 00:12:15, 00:15:24, 00:22:45, 00:29:18, 00:38:12, 00:41:57, 00:50:12, 00:58:24, 01:06:53, 01:14:56, 01:20:07, 01:32:40, 01:37:39, 01:50:12, 01:52:11, 01:01:34
- Inventory Control 00:13:10, 00:17:09, 00:52:17
- Kanban 01:29:56, 01:31:36
- Lead Time 00:03:22, 00:09:46, 01:05:57, 01:16:26, 01:28:51, 01:46:32, 01:50:27, 02:04:45
- Material Requirements Planning (MRP) 00:21:27
- Overtime 00:48:13
- Pareto Analysis 01:41:13
- Procurement 00:18:53, 00:20:22
- Safety Stock 00:58:44, 00:59:53, 01:04:28, 01:07:00, 01:16:42, 01:27:35
- Service Level 01:08:42
- Supplier 00:09:22, 00:18:57, 00:24:48, 00:26:59, 01:42:4, 01:49:46
- Supplier Managed Inventory (SMI) 01:40:17, 01:42:39, 01:50:36
- Supply Chain 00:05:52
- Supply Chain Management 00:58:46
- Tariff 00:06:27, 00:07:52, 00:19:05
- Unit Cost 00:44:31
- Wages 00:47:52
80-20 Pareto Rule: The Pareto principle states that, for many events, roughly 80% of the effects come from 20% of the causes.
Accountability : The responsibility for the actions and decisions made in relation to procurement, and for the outcomes that result
Cost: The sum of the applicable expenditures and charges directly or indirectly incurred in bringing an article to its existing condition and location
Enterprise Resource Planning (ERP): Refers to a type of software that organizations use to manage day-to-day business activities such as accounting, procurement, project management, risk management and compliance, and supply chain operations.
Forecast: A method used to predict inventory levels for a future time period.
Inventory: A company's inventory typically involves goods in three stages of production: raw goods, in-progress goods, and finished goods that are ready for sale. Inventory or stock refers to the goods and materials that a business holds for the ultimate goal of resale, production or utilization.
Inventory Control : The process of managing a company's inventory levels, whether that be in their own warehouse or spread over other locations
Kanban: Kanban is a scheduling system for lean manufacturing. Kanban is an Agile management method built on a philosophy of continuous improvement, where work items are “pulled” from a product backlog into a steady flow of work.
Lead Time: The number of days from when a company places an order for supplies, to when those items arrive.
Material Requirements Planning (MRP): Material requirements planning (MRP) is a system that helps manufacturers plan, schedule, and manage their inventory during the manufacturing process.
Overtime: Overtime is time and a half of what an employee earns for every hour worked over 40 in a workweek. The FLSA salary threshold is the minimum salary employers must pay employees for them to be exempt from overtime wages.
Pareto Analysis: Pareto analysis is a formal technique useful where many possible courses of action are competing for attention. In essence, the problem-solver estimates the benefit delivered by each action, then selects a number of the most effective actions that deliver a total benefit reasonably close to the maximal possible one.
Procurement: Procurement is the process of finding and agreeing to terms, and acquiring goods, services, or works from an external source, often via a tendering or competitive bidding process. Procurement is used to ensure the buyer receives goods, services, or works at the best possible price when aspects such as quality, quantity, time, and location are compared.
Safety Stock : Safety stock, also known as buffer stock or backup inventory, is extra inventory that a business keeps in storage to reduce the risk of running out of stock. It can help businesses prepare for unexpected fluctuations in demand, supply chain issues, or inaccurate forecasts.
Service Levels: Defines the standard of performance required from a service provider and allows measurement and reporting against the agreed standard.
Supplier: A supplier is an entity that supplies goods and services to another organization. A supplier is usually a manufacturer or a distributor. A distributor buys goods from multiple manufacturers and sells them to its customers. Similar Terms. A supplier is also known as a vendor.
Supplier Managed Inventory (SMI) : The Supplier Managed Inventory (SMI) process is a supplier-driven replenishment and planning process. With the SMI module, suppliers can view and manage inventory levels, shipping as required to maintain the ideal inventory level at the customer site. SMI reduces the customer's responsibility to monitor inventory and contact the supplier.
Supply Chain: A supply chain is a network between a company and its suppliers to produce and distribute a specific product to the final buyer. The supply chain also represents the steps it takes to get the product or service from its original state to the customer.
Supply Chain Management: In commerce, supply chain management, the management of the flow of goods and services, involves the movement and storage of raw materials, of work-in-process inventory, and of finished goods as well as end to end order fulfillment from point of origin to point of consumption.
Tariff: Tariffs are taxes imposed by one country on goods imported from another country. Tariffs are trade barriers that raise prices, reduce available quantities of goods and services for US businesses and consumers, and create an economic burden on foreign exporters.
Unit Cost : Unit cost encompasses all costs associated with producing or acquiring that item.
Wage: A fixed regular payment, typically paid on a daily or weekly basis, made by an employer to an employee, especially to a manual or unskilled worker.
