Safety Stock merged with In Transit Inventory
Original Publication Date: 2003-Oct-16
Included in the Prior Art Database: 2003-Oct-16
This invention is a new method to control safety stock for Material supplied to Manufacturing sites. Traditionally the raw material is stored at and owned by the manufacturing site. In modern approaches the storage of the raw material is organized near by the manufacturing site in a hub where material ownership and stock level control is with the supplier. This invention describes a third method: Replace the safety stock with in transit stock controlled by the forwarder. Expediting or delaying the material delivery will replace the traditional pulls from safety stock.