NIOS Class 10 Warehouse Principles & Inventory Management Chapter 14 Inventory – An Introduction Solutions to each chapter is provided in the list so that you can easily browse through different chapters NIOS Class 10 Warehouse Principles & Inventory Management Chapter 14 Inventory – An Introduction and select need one. NIOS Class 10 Warehouse Principles & Inventory Management Chapter 14 Inventory – An Introduction Question Answers Download PDF. NIOS Study Material of Class 10 Warehouse Principles & Inventory Management Notes Paper 259.
NIOS Class 10 Warehouse Principles & Inventory Management Chapter 14 Inventory – An Introduction
Also, you can read the NIOS book online in these sections Solutions by Expert Teachers as per National Institute of Open Schooling (NIOS) Book guidelines. These solutions are part of NIOS All Subject Solutions. Here we have given NIOS Class 10 Warehouse Principles & Inventory Management Chapter 14 Inventory – An Introduction, NIOS Secondary Course Warehouse Principles & Inventory Management Solutions for All Chapters, You can practice these here.
Inventory – An Introduction
Chapter: 14
Intext Questions 14.1
(i) Define Inventory Management.
Ans: Inventory management involves ordering, handling, storing, and using a company’s non-benefit from assets.
(ii) What is Inventory?
Ans: Inventory is all the items, goods, merchandise, and materials held by a business for making and selling in the market to earn a profit.
(iii) What is Raw material?
Ans: Raw Material: the basic material from which a product is made.
Intext Questions 14.2
(i) Name the objectives of Inventory Management.
Ans: The objectives of Inventory Management are Operating and Financial Objectives.
(ii) What are the reasons to hold inventory?
Ans: The importance for holding inventory to ensure the smooth running of the manufacturing process, decrease the buying cost of inventory, take advantage of quantity discounts, avoid opportunity loss on sales, utilise and optimise the plant capacity, and decrease the price.
Intext Questions 14.3
(i) What is Supply chain management?
Ans: Supply Chain Management: is the management of the flow of goods and services and includes all processes that transform raw materials into final products.
(ii) Write down the name of five parts of SCM.
Ans: There are four parts, which are as follows:
(i) Plan.
(ii) Source.
(iii) Manufacturing.
(iv) Distribution and Logistics.
| Terminal Exercise |
Fill in the blanks –
1. The objective of inventory management is to preserve inventory at an applicable level to prevent _______________of inventory.
Ans: excess or insufficient.
2. Holding excess inventory led to an __________________.
Ans: Increase in carrying costs and tied up capital.
3. Logistics managers are referred to as _______________.
Ans: Supply chain managers.
4. Even if the business is small, middle-sized, or large, strategies _________.
Ans: Logistics management is essential.
5. ________ is one of the most essential factors in the quality of any supply chain.
Ans: Efficiency.
6. Note on Logistics Management.
Ans: Logistics management activities typically include inbound and outbound transportation management, fleet management, warehousing, materials handling, order fulfilment, logistics network design, inventory management, supply/demand planning, and management of third-party logistics services providers. Logistics management is an integrating function that coordinates and optimises other logistics activities and takes part in logistics activities with other functions, including marketing, sales manufacturing, finance, and information technology.Logistics is an activity taken out by several companies for the physical distribution of goods. FMCG, consumer durables, and many other businesses frequently manufacture goods.
Activities of logistics management are:
(i) Order processing: The Logistics activities start with the order processing, which might be the work of the commercial department in an organisation. The commercial part is the one that ensures that the payment terms and the delivery conditions have been met and then processes the order from within the company.
(ii) Material handling: Material handling is the development of goods within the warehouse. It requires processing the material so that the warehouse can process orders effectively. Even though it may sound a mundane task, it is an important and continuing activity in any warehouse.
(iii) Warehousing: If we take the example of LG or Samsung, these are consumer durable companies which are present in multiple countries. Their manufacturing might be at one point, but the distribution is worldwide. Thus, warehousing plays a huge role and is one of the important Logistics activities.
7. Mention the Parts of SCM, explain.
Ans: In SCM, the supply chain manager manages the logistics of all aspects of the supply chain, which consists of five parts:
(i) The plan or strategy.
(ii) The source (of raw materials or services).
(iii) Manufacturing (focused on efficiency and efficiency).
(iv) Distribution and logistics.
(v) The refund system (for defective or unwanted products).
The supply chain administrator tries to minimise deficiencies and keep costs down. Supply chain management is important as it can help accomplish several business objectives. For instance, controlling manufacturing procedures can improve product excellence, reducing the risk of recalls and lawsuits while helping to build a robust consumer brand. Overall, supply chain management offers many prospects for companies to advance their profit margins and is particularly important for companies with large and international operations. The view of supply chains had an intra-organisational effort and was mainly concentrating on the firm’s internal supply chain and how various functions could be integrated to smooth the company’s material flow.
8. What are the operating activities of Warehouse management?
Ans: They are related to the operational activities of the business-like purchase, production, sales etc.
(i) To ensure a continuous supply of materials.
(ii) To ensure an uninterrupted production process.
(iii) To minimise the risks and losses suffered due to lack of inventory.
(iv) To ensure better customer service.
(v) Avoiding stock out danger.
9. Explain the FMCG and its different types.
Ans: Fast-moving consumer goods, generally abbreviated as FMCG, are non-durable and aim to sell quickly. It is also known as Consumer-Packaged Goods (CPG). FMCG, consumer durables, and many other businesses frequently manufacture goods. These goods must be shipped to the distributors, suppliers, and the end customer. Logistics means transporting the commodities from the business to the intermediaries or the end consumer.
There are different type of FMCGs, which are as follows:
(i) Nature, Importance of effective FMCG Inventory Management:
(a) The FMCG industry is very competitive.
(b) Logistic solutions & efficient Warehousing plays a key role in the FMCG sector.
(c) FMCG is consumed shortly post-production, hence it is very important to ensure the supply chain works well.
(ii) Automotive Goods: Automotive goods are the goods, raw materials, spare parts, and other components involved in manufacturing automobiles, ranging from motorcycles, two wheelers, three wheelers, cars, vans, other utility vehicles, truck buses etc.
(iii) Dry Bulk Cargo: Dry bulk goods are unprocessed raw materials or pre-production materials stored in large quantities and used in the manufacturing production process. The storage of products that do not require a climate-controlled environment like perishable goods. The storage and transport of dry bulk commodities are highly regulated because of the sensitivity and hazards involved during its transportation.
(a) Major bulks: Some examples of major dry bulk commodities are coal, grain, and iron ore.
(b) Minor bulks: The details around the three major bulk commodities namely iron ore, coal and grains, which cover almost 2/3 of the world’s dry bulk trade. Several other minor dry bulk goods cover the balance 1/3 and, in many cases, they highly influence the implementation of the total dry bulk market.
