Inventory Management

Stock Levels

The Min/Max inventory ordering is an inventory replenishment method. The “Min” value represents a stock level that triggers a reorder and the “Max” value represents a new targeted stock level following the reorder. The difference between the Max and the Min is frequently interpreted as the EQQ (Economic order quantity – the purchase order quantity for replenishment that minimizes total inventory costs).…

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Import

Import Export Terminologies

Export Promotion Capital Goods (EPCG) scheme allows import of capital goods including spares for pre production, production and post production at zero duty subject to an export obligation of 6 times of duty saved on capital goods imported under EPCG scheme, to be fulfilled in 6 years reckoned from Authorization issue date. Merchandise Exports from India Scheme (MEIS) – A…

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Procurement

Supply Chain Terminologies

Procurement refers to the process of identifying, shortlisting, selecting, and acquiring, (ISSA) suitable goods or services from an outside source. Activities like contract management, receiving & storing, payment & evaluation comes under ambit of procurement. Purchasing is a small subset of the broader procurement function, associated with acquiring the goods and services, and the process includes activities like ordering, expediting,…

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Logistics

FCL and LCL

FCL stands for full container load. In FCL shipping, our goods in the container don’t have to share space with shipments from other traders. We pay the total container price, whether or not your goods have occupied all the space. LCL stands for less than container load. Here our goods occupy only a section of a container and are grouped…

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Quality Management

EIGHT DISCIPLINES (8D)

The eight disciplines (8D) model is a problem solving approach. The purpose of the 8D methodology is to identify, correct, and eliminate recurring problems, making it useful in product and process improvement. The 8D problem solving model establishes a permanent corrective action based on statistical analysis of the problem and focuses on the origin of the problem by determining its root causes.…

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Finance

Frequently Asked Questions

What Is Liquidity and Why Is it Important for Firms? Liquidity refers to how easily or efficiently cash can be obtained in order to pay bills and other short-term obligations. Assets that can be readily sold, like stocks and bonds, are also considered to be liquid (although cash is, of course, the most liquid asset of all). Businesses need enough…

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Finance

Financial Tools for Supplier Risk Assessment

To ensure that our suppliers are financially healthy we need to keep checking up some of the financial areas of the supplier. It’s essential to conduct financial assessments on selected suppliers that make up the largest portion of our spends, usually the top 20%, and/or strategic high-risk suppliers, due to management costs and risk. Liquidity Ratios, Profitability Ratios and Inventory…

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Polymer

LDPE Vs HDPE

Low density polyethylene (LDPE). This clear or translucent plastic exhibits flexibility, chemical resistance, and waterproofing capabilities. It is used in the manufacture of a wide range of products, including grocery bags, plastic wrap and film, flexible packaging material, and injection molded parts. High density polyethylene (HDPE). HDPE offers greater rigidity and durability than LDPE. It is available in translucent to…

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Forging

Forging

Forging is a metal shaping technique using compressive localized forces. commonly performed with the help of forging presses or hammering tools powered by either electricity, hydraulics or compressed air. Some of the common materials used for forging are carbon steel, alloy steel, micro alloy steel, stainless steel, aluminum, and titanium.  Different Types of Forging and Their Advantages  Forging gives its product unbroken grain flow, elimination of…

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