Focusing on Process: Leveraging Inventory Governance Practices to Improve Supply Chain Functionality
Open Access
- Author:
- Cunningham, Kyra
- Area of Honors:
- Supply Chain and Information Systems
- Degree:
- Bachelor of Science
- Document Type:
- Thesis
- Thesis Supervisors:
- Robert Alexander Novack, Thesis Supervisor
John C Spychalski, Thesis Honors Advisor - Keywords:
- Inventory
Inventory Management
Inventory Governance
Governance
Key Performance Indicators
Best Practices
Supply Chain
Process Improvement - Abstract:
- Inventory governance is an area of supply chain where companies follow “best practices”, but without a definition of what these general guidelines are, some businesses open themselves up to unnecessary risk when they do not focus on this topic. Specifically, a weak structure in this area can lead to miscommunications, knowledge gaps, and lost sales, among other detrimental side effects. Another issue arises with “perfect” guidelines looking different for every company, so one company’s successes with inventory governance cannot be directly transferred to another. This thesis examines how a top healthcare and pharmaceutical supplier, Company A, manages their inventory processes as well as recommends how they can improve this area to benefit their supply chain overall. Fifteen employees from Company A were interviewed with a standard set of questions crafted to gain insight into the company’s current inventory governance procedures. The tribal data collected was analyzed to provide employee-driven process recommendations. The commonalities found were compared to limited academic research in this space; deliverables were compiled for Company A based on these results, detailing ways they can advance their business with a few changes. Final suggestions on how Company A can improve their inventory governance center around strengthened communication, increased visibility, and education. The main takeaway from this case study and thesis is finding ways to improve inventory governance specifically for Company A, which will improve their overall supply chain operations.