As fsn, xyz, abc, hml, ved and s-os in this study we shall focus on fsn analysis in fsn analysis the items are key words: fsn analysis, inventory management, inventory control i introduction reference shows, in any industry today inventory optimization is such a vital function excess and shortage of inventory in all. Some of the major techniques of inventory control are as follows: 1 economic order quantity 2 inventory models 3 abc analysis 4 material requirements planning 5 ved analysis a problem which always remains in that how much material may be. Ved analysis  is most commonly used in spare parts management and not so popularly used in general inventory management fsn analysis  fails when used in manufacturing environment where raw materials for data analysis for xyz classification v drawbacks for xyz classifications.
Just like abc analysis for classification of inventories, there is an inventory management technique called ved in ved analysis inventory items are classified depending upon their criticality in terms of their effect on production function. The abc-ved matrix shows that management of class i (68 vital items) by the top management ie commandant would help in keeping a check on the annual budget and their availability the middle level management by officer-in-charge medical stores for class ii (159 items) and lower level mangement for class iii drugs is desirable. Inventory optimization in supply chain, abc analysis is an inventory categorization method which consists in dividing items into three categories, a, b and c: a being the most valuable items, c being the least valuable ones.
Desirable) analysis, abc-ved matrix, fsn (fast-slow-non-moving) analysis, xyz analysis, hml (high-medium-low cost) analysis, sde (scarce-difficult-easy to procure) analysis, have been designed, recommended and applied for the management of medical. Selective inventory management † pareto’s law † ved analysis † dead stock † slow-moving items 31 need for selective inventory management selective inventory management (sim) is an effective starting point for designing abc analysis 2 ved analysis 3 fsn analysis other less known approaches such as golf, hml, or xyz analyses are. Abc analysis is a well-established categorization technique based on the pareto principle for determining which items should get priority in the management of a company’s inventory in. In management of inventories, the firm’s objective should be in consonance with the wealth maximization principle to achieve this, the firm should determine the optimum level of investment in inventory to deal with the problems of inventory management effectively, it becomes necessary to be conversant with the different techniques of inventory control.
Xyz, ved, fsn and sde abc analysis: abc analysis is a basic critical management tool which allows top management to place the effort where the results will be greatest. Inventory management of a store using abc-xyz -fsn analysis dr babu krishnaraj r1, controlling inventory in a pharmacy such as abc, ved, xyz, hml, fsn and so on each of these methods are identify abc-xyz- fsn sub-categories, in order to. Abc & xyz analysis ahmed atif, mms(operations) inventory management definition: the planning and controlling of inventories in order to meet the competitive priorities of the organization effective inventory management is essential for realizing the full potential of any value chain inventories are important to all types of organizations and their employees and affect everyday operations. 65 chapter – 3 techniques of inventory management 31 introduction the term ‘inventory’ originates from the french word ‘inventaire’ and latin word ‘inventariom”, which implies a.
Xyz analysis is the application of pareto’s law by which inventory is classified by £ investment in inventory in order to focus attention on those classifications which warrant closest control. Xyz abc analysis 1 xyz & abc analysis of inventory managementx-y-z analysis is based on value of the stocks on hand (ie inventory investment) xyz analysis is more used in relation of the customer demand for fg (finished goods)xyz when combined with fsn analysis helps to classify non-moving items into xn, yn, and zn group and thereby identify a handful of non-moving. Fsn analysis is part of inventory management in logistics and supply chain management system in the case of spare parts management in inventory it is necessary to analyze the data based on several parameters such as the rate of issuing of spare parts, amount consumed annually, lead time, the.