Decision Support System for Inventory Management: A Case Study of Plastic Equipment Manufacturing Factory
Article Sidebar
Main Article Content
Abstract
An effective inventory management leads to a reduction in cost of carrying goods. This study investigated the inventory management of a plastic equipment manufacturing factory and offered suggestions for improving its process of inventory management by the enterprise diagnostic techniques and the quantitative analysis, such as, Why-Why analysis, inventory classification, forecasting, re-order point analysis, and simulation. It was found that this factory had a high level of excess inventory. The main cause of this problem was a lack of knowledge of inventory management. This resulted in the mistakes in inspection, recording, and inventory refilling. This study also found that the improvement of the process of inventory management could reduce the amount of inventory; its cost was also reduced by 11,097,394 million Baht. The inventory cycle count and the decision support system could improve the efficiency of the inventory management.
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
The articles published are the opinion of the author only. The author is responsible for any legal consequences. That may arise from that article.
References
Office of Industrial Economics Ministry of Industry. (2012, Dec. 7). Industry publications worth knowing Introduction to the petrochemical and plastics industry.(1st). [Online] (in Thai). Available: http://www.smi.or.th/index.php/ sample-sites-7/category/43-2012-12-07-03-19-07
Warehouse Management and Distribution Manual, 1st. ed., Prachumthong Printing Co., Bangkok, 2009, p.11 (in Thai).
P. Lalitaporn, Inventory Management. Bangkok: Publisher of Technology Promotion Association (Thai-Japan), 2009 (in Thai).
J. Lenathanapipat and T. Chantueg, “Professional inventory management,” Veridian E- Journal Silpakorn University, vol. 11 no. 1, pp. 226–241, 2018 (in Thai).
D. Thavorn, Production Management and Industrial Business. Nakhon Pathom: National Center for Promotion and Training Kasetsart University (Kamphaengsaen Campus), 2020 (in Thai).
H. Okura, Why–Why Analysis Essentially Analysis Techniques to Improve the Enterprise. Bangkok: Publisher of Technology Promotion Association (Thai-Japan), 2002 (in Thai).
K. Ploypanichcharean, Principle of Quality Control. Bangkok: Publisher of Technology Promotion Association (Thai-Japan), 2013 (in Thai).
M. Baramechai, “Logistics consultant building project training Specific course in Inventory Management,” Logistics Division Department of Industrial Promotion and Technology Promotion Association (Thai-Japan). Bangkok, May 2017 (in Thai).
S. Reungperakul, Advance Forecasting Technics. Bangkok: Publisher of Ramkhamhaeng University, 2015 (in Thai).
P. Lalitaporn, Inventory Management in Supply Chain. Bangkok: Publisher of Chulalongkorn University, 2016 (in Thai).
D. Thavorn, “Enterprise diagnosis: A case studies of automotive parts manufacturing plants,” Kasetsart University (Kamphaengsaen Campus). Nakhon Pathom, 2014 (in Thai).
K. Wongsathienchai, “Enterprise diagnosis using the Shindan Technique at Meo Jai Dee Studio Limited Partnership,” M.B.A. Independent Study, Department of Business Administration, Graduate school, Chiang Mai University, 2008 (in Thai).
C. Intarasit and V. Tantarabandit, “Inventory management: A case study of the auto parts store, Sakon Nakhon province,” in National and International Conference on Business and Innovation in Management, Khon Kaen, 2015, pp. 909–914 (in Thai).
A. Pimpaka, S.Rakkarn, P. Srihomchai, and A. Jindawat, “Cost reduction Inventory: Case studies companies install and distribute fire extinguishing systems,” Journal of Kasem Bundit Engineering, vol. 4, no. 2, pp. 1–10, 2016 (in Thai).
A. Pichaya, “Inventory management of specialty dental service clinics, dentists Science,” M.S. thesis, Department of Industrial Engineering, Faculty of Engineering Chulalongkorn University, 2016 (in Thai).
C. Liang, “Smart inventory management system of food-processing-and distribution industry,” Procedia Computer Science, vol. 17, pp. 373– 378, 2013.
D. Krichchanchai and W. Mheesamut, “Project to study hospital inventory management from hospital business architecture,” Mahidol University. Nakhon Pathom, 2015 (in Thai).
A. Ramadhan and T. Simatupang, “Determining inventory management policy for perishable materials in Roemah Keboen restaurant,” Procedia–Social and Behavioral Sciences, vol. 65, pp. 992–999, 2012.
J. Wanitwattanakosol, W. Attakomal, and T. Suriwan, “Redesigning the inventory management with barcode-based two-bin system,” Procedia Manufacturing, vol. 2, pp. 113–117, 2015.
E. Sarabi and S. Darestani, “Developing a decision support system for logistics service provider selection employing fuzzy MULTIMOORA & BWM in mining equipment manufacturing,” Applied Soft Computing Journal, vol. 98, no. 1, pp. 1–14, 2021.
A. Kulwanichchainan, BIG DATA SERIES I. Bangkok: Proud Place Company Ltd., 2019 (in Thai).
Plastic Institute Ministry of Industry. (2017). Plastic Industry Development Strategy for Substitute Imports. (1st) [Online] (in Thai). Available: https:// www.thaiplastics.org/img/ content_attachment/ attach/1378441806.pdf
