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The Relationship between Inventory Management and Performance of Russia Retail Companies

Student: Bogatov Artem

Supervisor: Anna Lukianova

Faculty: Graduate School of Business

Educational Programme: Business Administration (Bachelor)

Year of Graduation: 2021

The purpose of this work is to analyze the current inventory management system of the company LLC "Aqualife", engaged in the production of soft drinks. In March 2021, the company was faced with the inability to meet the demand for its products using the usual methods. Based on the analysis, it is necessary to propose measures to address the identified shortcomings in the system. For high-quality performance of the purpose of the work, you need to solve the following tasks: - Explore the topic of inventory management - Consider different inventory management practices - Analyze the methods of evaluating the effectiveness of the inventory management system and choose the most suitable one for our work - Analyze the economic characteristics of the company - Evaluate the effectiveness of the inventory management system of Aqualife LLC»According to the results of the analysis of the inventory management system of Aqualife LLC, it can be concluded that the existing system, in which there are no stocks of finished products with the growth of the company, was not ready for stressful loads and brings losses both financial and reputational. In the course of the work, measures are proposed for the implementation of pre-production on the basis of a sales plan created on the basis of historical data and actual orders for the month ahead. Using the example of the situation with the trade network "Svetofor", it is shown that an increase in the production of lemonades at two plants by 15.2% with the aim of selling them in the next month would avoid losses. In addition, it was proposed to delineate the sales areas from the factories in order to unload the plant in Chernogolovka and reduce logistics costs. The proposed activities will help to return and maintain the level of customer satisfaction.

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