How to get inventory turnover and how to manage inventory?

Dear Sunil, Let me make this simple.
Get your Inventory turnover by dividing sales (market price or COGS) by inventory (average is advised).
Managing inventory involves the balancing of movement and controlling the various outgoing and incoming units in a fashion that doesn't obstruct the smooth flow of inventory.
Knowing how much buffer stocks have to be added, ordering interval etc.
should help one with managing inventory.
Thanks.
Nitin C

Total sales/avg.inventory = ITR Planning,Sales,Purchase,Stores has a greater role in the reduction of inventory and they need to work togather.
Once the annual forecast has been made then it has be to drilled to quarterly forecast.
From that you can arrive on the Material requirements by comparing with stock,pending orders, material in pipe line etc.,.Need to closely work with suppliers/vendors for the reduction of lead time and provide vendors your forecast so that they can work for the regular uninterrupted supplies.
Try implement JIT,2 bin system which will help in improving the ITR

Inventory turnaround is a ratio which suggests about the total number of average inventory on hand for a specific period of time or total number of inventory turned around in a year. For example, the total number of inventory on hand is92,000 and the cost of goods sold is40,000. The inventory turnaround ratio will be92,000/40,000 which equals to2.3%. The inventory turnaround ratio suggests that the number of times inventory has been ordered and the number of times the inventory has been sold.

Turn Over is the number of Times you are able to seel your inventory Value.

if you want to be more accurate interms of calculating the Healthness of your inventory , you have to deduct Emergency and Warranty Sales from Sales to get the sales out of inventory.

Stock Mangement:

1- keep historical calls and Demand.

2-Min Max calculation based on Days of supply, buy as sold or Posssion.

3-Strong reporting system.

4- Inventory Team Knowledge.

5-Inactive stock reduction.

6-Stock Replenishment

 

 

We need to now witch program we use in our company ,all program is diferent but is olmost same,so we will check daily,wekly and mantly control,we must to now any time were is our staff.
Please contact me on the skype.
Edissuljkic.
Thanks.