MICON Engineering

A study on the inventory management with special
reference to MICON ENGINEERS (HUBLI) PVT LTD

INTRODUCTION OF COMPANY
The latest state of the art, new emerging, powerful and cost effective technologies
have been the main reason to set up different kind of industries like, Engineers,
Textile, Mining, Food processing, Cement, Constructions, Chemical, Drugs &
Pharmaceutical, Petrochemical, Marine, Effluent treatment, left irrigation projects,
Power plants, solvent plants, off-shore plants, Sugar, Steel, Automation &
Automobile etc.
In each and every of the above said industries one device plays a crucial role. This
device is called as a VALVE a valve is a device that controls the flow rate of fluid,
charges the direction of flow, allows a fluid to flow in only one direction, allows an
user to take samples, increase the velocity of the fluid, controls the pressure drop in
pipe and for many other application.
Thus there would be a tremendous requirement for valve both in domestic and
global market. Looking at the global market, it can be realized that 40% of the
global valve manufacturers are based in India. Among this 40%, 15-20%is based at
Hubli city, which is well connected to all metropolitan cities of India by Road, rail
& airways.
Hubli city has got a history of valve manufacturing industries. Valves & pumps
manufacturing giants like MIRCOFINISH VALVES; BDK VALVES &AKAY
INDUSTRIES have made their base at hubli since last 35 year.
The main reason for selecting Hubli city for the above activity is, availability of
raw materials, finished goods, bought out items, well equipped machine shops,
testing facilities, and more over cheap labor with high quality consciousness. All
these features have made Hubli an ideal city for valve manufacturing.

Thus it is concluded that a valve & gearbox is considered as heart of any type of
process industry, thereby making an industry to run smoothly without creating any
type of accidents and hazardous environments.
Micon Engineers (Hubli) pvt.Ltd. A sister concern of Tec flow valves (India)
pvt.Ltd. Started its operations at Hubli with a set of committed engineers and
workmen focusing on supplying of Aquaria series valves such as, butterfly
valves, dual plate check valves, air release valves, etc, to the Global valves
exporter based at Mumbai.
Innovation, Reinvention and Diversification are a continuous process at MICON
ENGINEERS Be
it a new
product development or enhancement of older
product, we at MICON ENGINEERS are constantly striving to give the customers

maximum value for their investment, widest product range and most complete
solute

COMPANY PROFILE
Business Type
Exporter , Manufacturer
Import Percentage
25%
Primary Competitive Advantage
Impeccable quality, prompt delivery,

competitive prices and customized
designs, hands-on technical assistance to
customers
Sales Volume
Rs. 5 core
No of Staff
200
Year of Establishment
2002
No of Production Lines
Export Markets
Asian continent
Investment
Equipment
on
Manufacturing Rs. 50 lakh
OEM Service Provided
Yes
No of Engineers
18
Monthly Production Capacity
10,000 pieces
Product Range
Forged steel gate valves
Forged steel globe valves
Forged steel lift check valves
Cast steel gate valves
Cast steel globe valves
Cast steel swing check valves
Cast steel 2pc. ball valves
Cast steel 3Pc. ball valves
Bar stock ball valves
Custom designed ball valves
2pc. Investment cast ball valves

BRIEF COMPANY HISTORY:
1990
The formidable MR. M.A. Naikwadi & Sons lays the foundation of an industrial
success and Perfect Engineering Works takes shape as a manufacturing subcontractor for supplying of spare parts for valves and valve accessories.
1995
Started Manufacturing of needle valves in the in the name of M/s Tech Flow
valves (India). Pvt. Ltd. And taking a positive step ahead for manufacturing and
supplying forged steel gate, Globe and lift check valves to one of the leading
industrial valves manufacturer at Mumbai.
2003
Establishment of one more Engineering firm Micon Engineers (Hubli) Pvt Ltd. At
Hubli with a set of committed engineers and workmen focusing on supplying of
Aquaria series valves such as butterfly valves, dual plate check valves air release
valves etc., to one of the leading valve exporter located at Mumbai. Achieved a big
challenge of manufacturing 1200MM offset disc butterfly valve with electrical
actuation supplied to one of the leading steel plants in India through a leading
valve exporter from India.
2006
The Micon Engineering (Hubli) Pvt Ltd had established the quality benchmark and
achieved the prestigious ISO 9000-2000 certification through BUREU VERITASUKAS International certification authority. The Sleeping giant i.e., India awakes
and Micon Engineering rises to the challenging of developing ball valves, cast steel
gate, Global and swing check valves to the huge needs of process, Petro Chemical,
Power and Oil & Gas Industries.

2009&2010
Owing to the fact of demanding need of customers in global level, Micon
Engineering took a step ahead of the plant expansion of Hubli. Now we have been
performing in 20000 square feet wide area, with the state of the art manufacturing
facilities and enhancing the manufacturing capacity up to the 24 size with an EOT
crane of 5 TON.
We have also been re-certified with ISO 9001:2008 in this year. We have been
regularly exporting to middle-east countries since 2008.
This year became an unforgettable year for us, as we have achieved enlistment in
and other prestigious OEMs thereby enhancing our credentials and quality bench
marks. EIL, JACOBE, BHEL, L&T, TATA PROJECTS,PDIL, NPCIL, DAE.
2012&2013
This year we have got the approval for API monogram license API 600 & API 6D.
2013&2014
This year we have a plan for (Unit II) expansion of about 40000 sq ft area for
manufacturing higher size and rating valves.

VISION
To achive100%customer satisfaction, by year 2012 with 15%annual
improvement.
To be increase sales by 25%each year by improving marketing process.
To reduce recurring customer complaints to zero by strengthening corrective
action process.
To reduce rejection level 0.3to 20%with annual improvement of annual over
previous year rejection level.
To enhance productivity by every year.
To achive improvement of supplies quality and deliver performance
consistence with minimum out of staff situation.
MISSION
To, design, manufacture and market quality products that meet the customer
requirements and achieve total customer satisfaction through continual
improvements.
QUALITY POLICY
We the management and all involved in the Micon Engineers (Hubli) Pvt. Ltd. Are
committed to design, develop, manufacture, supply and service Industrial Valves
and Allied Products meant for global applications including oil and gas, by:
Continually improving our systems

Incorporating requirement for API monogram program.
Fulfilling quality, quantity and deliver requirement so the customer.
Keeping the price reasonable
INTRODUCTION OF THE MICON ENGINEERS

Micon Engineering is one of the dynamic growth oriented engineering and ISO
9001:2008 Certified Company engaged in manufacturing and marketing industrial
Valves. These valves are designed and manufactured to confirm strictly to ASTM,
ANSI, API, BS, EN & IS other internationally recognized standards to meet the
most stringent, requirements for industrial valves.
Owing to growing need of industry, MICON ENGINEERS (HUBLI) PVT. LTD
was established in 2004. The companys headquarters and manufacturing facilities
are located at Hubli, Karnataka State (INDIA).
We are extremely glad to inform that, Micon has certified approvals and
registration with TDC (Technical Development Committee for Indigenous
Materials), ISO 9001-2008, EIL, IBR, DNV/TUV/EIL FIRE SAFE, NPCL,
UHDE, TOYO INDIA, APGENCO, TATA PROJECT LTD, PDIL, BHEL, L&T, &
ECONOSTO MIDEAST, DAE ETC.
MICONs strength is to produce quality products at affordable prices, prompt
delivery and the unflinching commitment to excellence. Our product range
includes FORGED STEEL GATE, GLOBE CHECK VALVES available in range
from 15mm to 50mm and pressure class rating 800, 1500, & 2500 with IBR
certification.
With seven years of short time frame, Micon Engineers (Hubli) Private Limited has
become one of the well-acclaimed Manufacturers, Exporters and Suppliers of
precise industrial valves, based in hubli, Karnataka (India). We have been offering
a large array of products that includes Steel Gate Valves, Cast Steel Gate Valves,
Steel Globe Valves, Butterfly Valves, Dual Plate Check Valves and Air Release
Valves. Using high quality raw materials such as carbon steel, stainless steel, alloy
steel, & duplex, etc., we have been designing the best products. Our products are
designed as per the API, EN, BS, ASTM, ANSI and varied other international
standards to match up with the expectations of the clientele.
Supported with more than 200 talented employees, we have been setting
benchmarks of quality and excellence. Commitment towards work and providing
client satisfaction has always been our priority. The latest CNC & Conventional
machinery is used in the production to enhance production capacity up to 16000

Valves per Month. Moreover, our fully fledged R&D and quality testing facilities
make us the trusted player in this domain. We are an ISO 9001: 2008 certified firm
adhering to the strict quality policies. The advanced CAD and CAM amenities are
installed in our unit to design custom built products as per the needs of the clients.
ORGANISATION CHART

M.D
Purchase manager
Technical
Design Asst
Design Asst
Planning work
manager
Account ASST
Productio
n
HOD
Supervis
or
G M Quality H O D
Design
manager
Store keeper
Finance director
Maintenance
supervisor
IMI Quality
inspection
Final
Quality
inspection
Accounting G M
In process
Sales
coordinator
Account ASST
Marketing
executive
Workers
DEPARTMENTS
MARKETING
Marketing G M

SALES CO-ORDINATION
DESIGN DEVELOPMENT
PURCHASE DEVELOPMENT
STORES (INWARD MATERIAL INSPECTION)
PRODUCTION PLANNING AND CONTROL
QUALITY CONTROL
MACHINE SHOP
ASSEMBLY & TESTING
INSPECTION
DESPATCH
MARKETING & SALES DEPARTMENT:

This department is a helping hand to market all the products of MICON group of
company as well as its sister concerns, it is playing a vital role in realm of
marketing the products in a delighting manner, it provides pleasant services for
their overall satisfaction.

MARKETING DEPARTMENT CHART:
HEAD MARKETING
SALES CO-ORDINATION
ASSISTANT MARKETING
MARKETING OBJECTIVE
To design develop the quality products which are reliable and economically.

To continuous improvement of products quality.
Cleared products are sent to dispatch section.
MARKETING STRATEGY:
Direct marketing
Magazines
System selling
Relationship marketing
Website
FINANCE DEPARTMENT
Company is a needed reputed manufacturing industry in India. It is largely
responsible for economic development of the country. It is actively practicing
country's economic goal, and it has given its contribution in solving many of the
prevailing problems.
FINANCE DEPARTMENT

G M FINANCE
OFFICE ACCOUNTANT
ASSISTANT A/C
ASSISTANT A/C
OBJECTIVES:
1. To provide accurate & complete systematic information of financial
Activities
2.
To maintain all the books of accounts & other financial documents.
3. To prepare periodic financial statement of the Company like profit and loss
account & balance sheet etc.
FUNCTIONS:
1.
To Preparation of daily Cash books, General ledger& Bank
books.
2.
To prepare all Receipts & Payments accounts.
3.
Maintenance of all Sales Ledgers & Purchase Ledgers.
1.
Preparation of Sales Tax Returns & Excise Duty Returns &
Income Tax Returns

QUALITY ASSURANCE DEPARMENT

The main function of the QA department is to check whether the raw materials
purchased and goods manufactured are better quality or not.
It Operates when the Materials

In process.
IMI (invert material inspection).
FI & T (final inspection & testing).
Inspection of production planning.
QUALITY ASSURANCE DEPARMENT CHART
GM-QUALITY ASSURANCE
HOD-QUALITY ASSURANCE

ENGIENEER I.M.I
INSPECTOR QA
INSPECTOR
INSPECTOR (F.I
&T)
INSPECTOR QA
DESIGN DEPARTMENT
It is a core section of any manufacturing company. It is section where the design
and development of product is carried out. The MICON has a full pledged design
and development department.
DESIGN DEPARTMENT:
DIRECTOR

S.R ENGINEER
ENGINEER DESIGN
ENGINEER DESIGN
DRAFT MAN
OBJECTIVES
To design and develop the quality products which are reliable, economical
predictable and meets the customer requirement.
To continuously improve the quality of all products structure.
Requisition to store for assembly material assembling of material is done at
this stage.
PURCHASE DEPARTMENT
It also one of the important departments in the Company. To control the
materials the Company using First in First out Method. & ERP techniques
And suppliers are-paid 30 days,) days, 90 days depend upon the nature of
materials & they will be paid on installment bases also.
PURCHASE DEPARTMENT CHART
PURCHASE MANAGER

PURCHASE OFFICER
PURCHASE OFFICER
PURCHASE OFFICER
PURCHASE ASSITANT
PURCHASE ASSITANT
PRODUCTION DEPARTMENT:
WORKS MANAGER
PLANNING DEPARTMENT
MACHINE
ASSEMBLY SHOP
SUPERVISOR
SUPERVISOR

ASSEMBLY
PLANNING
MACHINE
R/M
SUPERVISOR
PLANNING
PLANNING
SUPERVISOR
PLANNING
RESEARCH AND DEVELOPMENT

Machinery/Equipment used in R&D Department
Make & Type of Machinery used in our R&D Department

SL.
No.
1
Type of Machinery
Capacity/ Configuration
Make
17" Monitor Personal

Computer
2.66 G Hz. Hard Disc.

Pentium-4 CPU
HCL
Qty. Remarks
3

2
17" LCD Monitor

Personal Computer
2.66 G Hz. Hard Disc.

Pentium-4 CPU
HCL
Print & Copy Type

Printer
15, 000 Prints/ Sarridge TOSHIBA
Inkjet Printer
30 PPM
HP
LaserJet Printer
Standard
HP
WORKING METHODS
The company's mission is to design, manufacture and market quality
products that meet the customer requirements and achieve total customer
satisfaction through continual improvements. To achieve this, the company
has established a well defined quality system and has employed a team of
committed engineers, who have been performing to their level of excellence
keeping themselves upgraded with the latest innovations, Engineers
excellence, precision manufacturing, assuring 100% quality and hands-on
technical
assistance
to
the
customer.
MICON's strength is quality products at affordable prices, prompt delivery

and the unflinching commitment to excel. The Group's products have been
enjoying a sustained presence in the national markets for over two decades
in chemical & and process industries. Innovation, Reinvention and
Diversification are a continuous process at MICON ENGINNERS
PRODUCT PROFILE
NATURE OF PRODUCT UNITS

i.
Types of valves
a. Gate globe check valve
b. Ball valves
c. Butterfly valves
These valves are classified as follows:
A)
GATE GLOBE CHECK VALVES

Forged steel
Cost steel
I. Gate globe check valves

valves
II. Gate lift valve check
Global valves
III. Globe valve check
check valves
B)
Forged steel
I. Gate
II.
III. swing
BALL VALVES
Cost steel
1. Forgedsteel ball valves

valves
1. Cast steel ball
2. Forged steel glob valves

glob valves
2. Cast steel

C)
BUTTERFLY VALVES
Flanged type valves

type valves
Wafer
PRODUCT PROFILE
Butterfly Valves, Ball Valves, Gate Valves, Globe Valves, Check Valves, Forged
Steel Valves
Contact Details
Address
:
Plot No. : C-255, M. T. Sagar Industrial Estate, Gokul Road,
Hubli, Karnataka - 580030
Telephone No.
91 - 836 - 2332900

RECENTLY UPDATED PRODUCTS
Knife Edge Gate Valve
Knife Edge Gate Valve have single cast, rugged, heavy duty body which provides
corrosio...
Supplier: Flosteer Engineers Pvt. Ltd.
PORT CONDUIT GATE VALVE
Port Conduit Gate Valve is specifically designed and manufactured for the
transportatio...
Supplier :Fluidline Valves Co. Pvt. Ltd.
UNI-DIRECTIONAL TWO-LUG TYPE KNIFE GATE VALVE
Uni-Directional Two-Lug Type Knife Gate Valve is available with two lug single
piece ca...
Supplier :Vaas International
HOPPER ISOLATED UNI-DIRECTIONAL KNIFE GATE VALVE

Hopper Isolated Uni-Directional Knife Gate Valve is ideal for use as isolation
valve fo...
Supplier: Vaas International
SQUARE / RECTANGULAR TYPE UNI-DIRECTIONAL KNIFE GATE
VALVE
Square / Rectangular Type Uni-Directional Knife Gate Valve is ideal for silo /
hopper i...
Supplier : Vaas International

PRODUCT PROFILE
BALL VALVES
Ball valves come in two basic designs: Floating Ball and Trunnion Mounted, with
three basic construction variants: Three piece, End Entry and Top Entry with
options of either full or reduced bore designs. Principally designed as an on/off
isolation valve for a very wide range of temperatures and pressures they have
inherent quick opening flow characteristics. Specially designed ball valves
however, may offer good flow control capabilities at High Pressure. All ball valves

offer compact actuation due to their rotary quarter-turn operation. Fire safe
versions are available for use in the oil and petrochemical industries
BUTTERFLY VALVES
One of the most compact & light-weight valves available are used for a wide range
of applications, the choice of seat, lining and disc options has increased
significantly over recent years making the valve a popular choice. A wide range of
materials, sizes and pressure ratings gives reliable positive isolation and moderate
flow control capability over a wide range of applications throughout the industry.
The metal seated valve is well established in petrochemical and oil industries being
lightweight, fire safe and suitable for actuation.
Butterfly valves offer a number of advantages when used for the proper
application. They may be used in a wide variety of chemical services, they are
available with small dimensions allowing for use in areas where space is limited,
and they allow a high coefficient of flow
CHECK VALVES
A check valve is a mechanical device, a valve, that normally allows a fluid to flow
through it in only one direction. Check valves are two-port valves, meaning they
have two openings in the body, one for fluid to enter and the other for fluid to
leave. There are various types of check valves used in a wide variety of
applications. Although they are available in a wide range of sizes and costs, many
check valves are very small, simple, and / or cheap. Check valves work
automatically and most are not controlled by a person or any external control;
accordingly, most do not have any valve handle or stem. The bodies (external
shells) of most check valves are made of metal

DIAPHRAGM VALVES
Diaphragm Valves are mainly used in water treatment plants, fertilizer &
petrochemicals industries, chemical industries, refineries, thermal power stations,
and other process industries. Equally suited to on and off, or flow control
applications, a diaphragm valve will handle positive pressures or high vacuum.
Due to the wide range of material options it will handle almost all applications
within its temperature and pressure ranges (175C max. and 16 bar max.) and as
such is used in almost every industry on both corrosive and abrasive applications.
All working parts are isolated from the line media which enhances its reliability.
Maintenance is a simple task with the body remaining in the pipe, the valve thus
being field serviceable. It has linear flow characteristics which makes it well suited
to throttling or modulating duties. On/off and control automation is possible with
the use of modern compact actuators and accessories
GATE VALVES
This is the most common and traditional type of valve. The valves are large to
accommodate the yoke and stem mechanism, but fully open the full bore design
provides an uninterrupted flow path. Generally either used fully open or closed, for
on/off isolation, and not used for modulating flow control duties. Variants include
Solid and Flexible Wedge Gates, Double Disc Gates, Through Conduit Valves,
Parallel Slide Valves and Knife Gate Valves.
GLOBE VALVES
Globe valves are designed for flow control or on/off isolation of fluids. They are
manufactured in straight patterns, angle patterns, oblique patterns and needle

designs with a large variety of internal seat construction variants to handle High
Pressure flow control duties. A wide choice of metal body options and trims means
Globe valves are widely used throughout industry.
OUR PRODUCTS
Over the last few years we have been introducing new products on a regular basis,
such as air release valves, cast steel gate valves, globe valves, swing check valves,
dual plate check valves to name a few. We are on the constant look for innovative
products that complement our world class product range.
With our well-
established network of sales offices and leading industry clientele, we have been
able to successfully branch out and gain product acceptance for various ancillary
products.
Our
wide
and
comprehensive
1.
Forged steel globe valves
2.
Forged steel lift check valves
range
of
products
includes:

3.
Cast steel gate valves
4.
Cast steel globe valves
5.
Cast steel swing check valves
6.
Cast steel 2pc. ball valves
7.
Cast steel 3pc. valves
8.
Custom designed ball valves
9.
10.
MAIN COMPETITORS OF MICON ENGINEERS
AkayIndustries.
Audo Industries
Cresent Industries.
KSB Industries
Weir BDK
Niton
Micro finish
Procep.

INTRODUCTION TO THE INVENTORY MANAGEMENT

Inventories mean the stock of the product and the components of the product,
i.e. raw material and semi product.
In other words, inventory is the composed of assets that will be sold in the
future in the normal course of business operations
Raw materials:
Stainless steel
Casting
Seats bars
Fasteners
Chemicals

MEANING OF INVENTORY:
The term inventory includes raw materials, finished packaging, spares and
other stocked in order to meet an unexpected demand or distribution in the
future.
Inventory includes the following categories of items:
Production inventories
In process inventories
MRO (maintenance, repair and operating) inventories.
Finished goods inventories.
These inventories are stocked by the company for the purpose
smooth production and customer satisfaction.
Inventories constitute the most significant part of current assets of a large

majority of companies. The large size of inventories maintained by firm are
considerable amount of funds is required to commit to them. It is therefore,
absolutely imperative to manage inventories efficiently and effectively in
order to avoid unnecessary investment. It is possible for a company to reduce
its levels of inventories to considerable degree without any address effect on
production and sales by using simple inventories planning and control
technique. The reduction in excessive inventories carries a favorable impact
on companies profitability.
NATURE OF INVENTORIES:
Material purchased pending usage is inventory. What is the company
purchased for manufacture of product is inventory?

Inventory is stock of the product a company is manufacturing for sale and
components that make up the product.
The various forms in which inventories exist in a manufacturing
company, they are as follows:
The manufacturing companies hold inventories in the form of raw material,
work in process and finished goods. There are at least three motives for
holding inventories.
1. To facilitate smooth production and sales operation(transaction
motive)
2. To guard against the risk of unpredictable changes in usage rate
and delivery time(precautionary motive)
3. To take advantageous of price fluctuations (speculative motive).
Inventories represent investment of a firms fund. The objective
of the inventory management should be the maximization of the
value of the firm.
The firm should therefore consider
1. Costs
2. Return
3. Risk factors
Two types of costs are involved in the maintenance:
1. Ordering costs: requisition, placing of order, transportation,
receving, inspecting and storing clerical and staff services.
Ordering costs are fixed per order. Therefore, they decline as the
order size increases.

2. Carrying costs: warehousing, handling, clerical and staff
services, insurance and taxes. Carrying costs vary with inventory
holding. As order size increases, average inventory holding
increases and therefore, the carrying costs increases.
The firm should minimize the total cost (ordering plus carrying).
The economic order quantity (EOQ) of inventory will occur at
point where the total cost is minimum.
The following formula can be used to determine EOQ:

EOQ=Q*
Where A is the annual requirement,

O is the per order cost, and
C is the per unit carrying cost
When should the firm place an order to replenish inventory? The inventory
level at which the firm places order to replenish inventory is called the reorder
point. It depends on
a) The lead time
b) The usage rate
Under perfect certainity about the usage rate, and instantaneous delivery (i.e.
zero lead time), the reorder point will be equal to: lead time x usage rate.
In practice, there is uncertainty about the lead time and usage rate. Under

perfect certainty about the usage rate. Therefore, firms maintain safety stock
which serves as a buffer to meet contingencies. In that case, the reorder point
will be equal to lead time * usage rate + safety stock. The firm should
strike a trade-off between the marginal rate of return and marginal cost of
funds to determine the level of safety stock.
A firm, which carries a number of items in inventory which differ in value,
can follow a selective control system. A selective control system, such as the
A-B-C analysis, classifies inventories in three categories according to the
value of the items. B-category consists of high value items and C-category
consist of lowest value items. More categories of inventories can also create
tight control may be applied for high-value items and relatively loose control
for low-value items.
The following are the advantages of available from the efficient inventory
management;
Reduction in investment in inventories.
Proper and efficient use of raw materials.
Ensuring continuous production and maximum sales.
Maintaining sufficient stock of finished goods for smooth and
timely supply of goods to customers and maintain their
patronage.
Minimizing inventory costs.
Efficient and optimum use of physical as well as financial
resources, safety stock.

Benefits of inventory management and control:

Proper management and control of inventories will result in the
following benefits to an organization.
Inventory control ensures an adequate supply of materials and
stores, minimizes stock outs and shortages and avoids costly
interruptions in operations.
It keeps down investment in inventories, inventory carrying costs
and obsolescence losses to the minimum.
It facilitates purchasing economies through the measurement of
requirements on the basis of recorded experience.
It eliminates duplication in ordering or in replenishing stocks by
centralizing the source from which purchase requisitions
emanate.
Its permits better utilization of available stocks by facilitating
inter-department transfers within a company.
It facilitates cost accounting activities by providing a means for
allocating material cost to products, departments or other
operating accounts.

Perpetual inventory values provide a consistent and reliable basis
for preparing financial statements.
COMPOSITION OF MATERIAL:
RAW MATERIAL
WORK IN PROCESS
Body casting
Valve bodies
Plug Valve
Fasteners
Valve stem
Ball Valve
Paints
Stem gaskets
38 series Ball
FINISHED GOODS
Valve

INVENTORY MANAGEMENT
PHYSICAL
INVENTORY
MANAGEMEN
T
FINANCIAL
INVENTORY
MANAGEMEN
T
Inventory Management is consisting of 2 hands. The first hand as shown in

the diagram is that Physical Inventory Management, Second one is Financial
Inventory Management.
The reason behind of dividing these views is: to gather the information very
easily and for easy to understanding of each view thoroughly. Let us see the
Meanings of each view one by one.
Physical Inventory Management
Meaning: Keeping of goods is also a type of management. Whenever
requirements comes from the production department, providing of those

required materials in a proper manner & providing those at the specified
period, is the main motto of Physical Inventory Management.
Benefits for Holding Inventory:
Benefits in Purchasing
Benefits in Production
Benefits in Work-in-Process
Benefits in Sales.
Inventory, as a current asset, differs from the other current assets because
only financial managers are not involved. Rather, all the functional areas,
finance, Marketing, Product & Purchasing are involved.
The job of the financial manager is to reconcile the conflicting viewpoints
of the various functional areas regarding the appropriate inventory levels in
order to fulfill the overall objective of maximizing of owners wealth.
Two-Bin System:
Under this system, the inventory items are grouped into two categories. In
one group or bin, sufficient quantity is kept to meet the current requirements
over a designated period of item. In another group or bin, a safety stock is
maintained to meet the requirements of inventory at times when the stock in
the first bin is exhausted and re-ordering occurs.
An effective inventory management should:
Ensure a continuous supply of raw materials to facilitate uninterrupted
production.
Maintain sufficient finished goods inventory for smooth sales
and efficient customer services.
operation


MICON Engineering

Transféré par

Informations du document

Description originale:

Titre original

Copyright

Formats disponibles

Partager ce document

Partager ou intégrer le document

Options de partage

Avez-vous trouvé ce document utile ?

Ce contenu est-il inapproprié ?

Droits d'auteur :

Formats disponibles

MICON Engineering

Transféré par

Droits d'auteur :

Formats disponibles

A study on the inventory management with special

reference to MICON ENGINEERS (HUBLI) PVT LTD

A study on the inventory management with special

product development or enhancement of older

product, we at MICON ENGINEERS are constantly striving to give the customers

A study on the inventory management with special

Primary Competitive Advantage

Impeccable quality, prompt delivery,

Manufacturing Rs. 50 lakh

OEM Service Provided

Monthly Production Capacity

Forged steel gate valves

Forged steel globe valves

Forged steel lift check valves

Cast steel gate valves

Cast steel globe valves

Cast steel swing check valves

Cast steel 2pc. ball valves

Cast steel 3Pc. ball valves

Bar stock ball valves

Custom designed ball valves

2pc. Investment cast ball valves

3pc. Investment cast ball valves

A study on the inventory management with special

A study on the inventory management with special

A study on the inventory management with special

Continually improving our systems

INTRODUCTION OF THE MICON ENGINEERS

A study on the inventory management with special

A study on the inventory management with special

A study on the inventory management with special

A study on the inventory management with special

MARKETING & SALES DEPARTMENT:

A study on the inventory management with special

MARKETING DEPARTMENT CHART:

A study on the inventory management with special

A study on the inventory management with special

To maintain all the books of accounts & other financial documents.

To Preparation of daily Cash books, General ledger& Bank

To prepare all Receipts & Payments accounts.

Maintenance of all Sales Ledgers & Purchase Ledgers.

Preparation of Sales Tax Returns & Excise Duty Returns &

Income Tax Returns

A study on the inventory management with special

QUALITY ASSURANCE DEPARMENT

It Operates when the Materials

A study on the inventory management with special

QUALITY ASSURANCE DEPARMENT CHART

A study on the inventory management with special

A study on the inventory management with special

A study on the inventory management with special

A study on the inventory management with special

RESEARCH AND DEVELOPMENT

Make & Type of Machinery used in our R&D Department

17" Monitor Personal

2.66 G Hz. Hard Disc.

A study on the inventory management with special

17" LCD Monitor

2.66 G Hz. Hard Disc.

Print & Copy Type

15, 000 Prints/ Sarridge TOSHIBA

MICON's strength is quality products at affordable prices, prompt delivery