The Use of Methods ABC and XYZ for Effective Inventory Management in the Enterprise

Abstract:

This article aims to highlight the importance of warehouse inventories and the need for their effective management. This article contains information regarding the relevance of inventory and internal logistics in company in general. The article also contains basic principles, meaning and importance of analysis of inventory - namely ABC analysis, XYZ analysis and a combination of both analyses, it means the resulting matrix ABCXYZ, through which we can recommend appropriate way of managing the flow of inventory. Case study that shows the use of analyses and their possible benefits in practice, is also included in the article. Among the essential items in terms of share in the assets of the company certainly includes an inventory item, which usually forms the most important part. Inventories bind significant capital of the company for some time. Likewise logistical processes associated with the acquisition, storage and distribution of inventories also require significant costs. From the above it can be concluded that every company should strive to minimize inventories and to "hold" the minimum amount.

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