Improving Inventory Management in Retail in the Example of the Company

Keywords: retail network, improvement of business processes, inventory management, inventory management cycle, inventory turnover, ABC-XYZ - analysis, integrated planning, the concept of Efficient Consumer Response, category management, intellectual inquiry, electronic data interchange (EDI). The aim of this work is to improve inventory management processes of retail network through using the conception intelligent order and implementation of a centralized information merchandising management system, which should allow the company to increase the level of logistics services, and significantly reduce the proportion of illiquid stocks for increasing the effectiveness of inventory management. The object of study of this work is the logistics system retailer of medical equipment. For achieving the main goal of this dissertation, we solved the following tasks concerned with the logistical system and inventory management of the considered company: 1. we analyzed the Russian market of medical technology. We identified problems associated with cross-functional coordination, with demand forecasting, with inventory management and with execution of orders, by realization financial, economic and logistical analysis of business operations of the company. 2. We analyzed and compared the different theoretical and practical approaches to improve inventory management of retail sector, and identified the most appropriate decisions for the company that we explore. 3. We carried out changes in order management processes and inventory management processes. New responsible departments were replaced for already changed business processes concerned with the cycle of inventory management. There was also chosen an information system supporting the work of the company after the changes that were offered. 4. We also considered the company’s activities from the position of economic effectiveness.