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Improvement of Inventory Management System in Construction Company

Student: Morozov Nikita

Supervisor: Maria Yermolina

Faculty: Graduate School of Business

Educational Programme: Logistics and Supply Chain Management (Bachelor)

Year of Graduation: 2016

1. The title of graduation thesis: “Improvement of the inventory management system in construction company”. 2. Student: Morozov Nikita Vladimirovich, BLG 123, School of Logistics, HSE. 3. Research adviser: Ermolina Maria Valerevna, senior lector. Key words: inventory management, inventory management models, Willson`s formulae, inventory costs optimization, model of strategic profit The primary aim of the thesis is the development of the proposals for inventory management system improvement in Archistone company and the economic justification of the implementation of the recommendations. During the research the following problems in company have been found: high stock level of chemicals due to high batch size and geographical remoteness of the supplier, duplication of the functions among departments, irrational allocation of the responsibilities for logistics processes, ineffective inventory management system of the cement, lack of the formalized algorithm of the inventory management system, high stock levels. The object of the research is construction company Archistone. In the research the recommendations for inventory system development have been formulated. The economic feasibility of the practical application of the proposed recommendations was proved. Return on equity of the company increased by 1,58%. 4. Thesis volume: 106 pages, 25 figures, 28 tables, list of references – 29.

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