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Methods of Elimination of Illiquid Inventory with an Example of the Company "LEGO Group"

Student: Smirnova Maria

Supervisor: Vladimir E. Novikov

Faculty: Graduate School of Business

Educational Programme: Logistics and Supply Chain Management (Bachelor)

Year of Graduation: 2018

The main aim of the research is to investigate methods of reduction of illiquid inventory. Methods of the achievement of this aim include company’s data analysis and analysis of the literature resources. In current research there will be investigated the choice of the strategy of inventory management and the consequences of the chosen strategy, reasons of appearing of illiquid inventory, the importance of the IT-systems in inventory management. The results of the research might be used for the more effective inventory management. Moreover, this research may serve as a literature guideline about inventory management and might rise interest of the professionals to this topic. In the research, there are analyzed possible actions for the company in a current situation with the illiquid inventory and economic consequences for Lego Group, also an algorithm of deliverance from the illiquid inventory has been developed.

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