Inventory KPI in the field of

Inventory KPI is important for any customer-oriented organization, from suppliers to consumers. In the aviation industry, for example, end users, the passengers the pilot or the crew. With the airfield changing its business model to something new, including its inventory, and KPI.

newer business models are currently used in aerospace. The fire may be the use of narrow jets, wide body jets, low-cost carriersand many others. Inventory KPI is important in the provision of service facilities in locations worldwide, deployed strategically to allow proper servicing aircraft. Many airlines see how important it is to be able to complete the flight service to ensure competitiveness. Moreover, in a military environment, asset tracking KPI is also crucial as good, especially with the escalation of the use of Net Centric Warfare and the rapid response.

NewPlayers with wider geographical spread of entering the commercial aviation industry. may, in particular in the aviation sector is globally interdependent environment, effective and efficient management of logistics is a big difference between profit and loss spell.

A good inventory management and valuation of inventories KPI can improve air operations, leading to increased revenues and greater economic benefits to the places where these companies operate. traditional inventoryKPI to address the inventory management including the ABC classification for parts of the frequency of use and value base, which measures the stock turns around and responsiveness at the level of service and the recording speed of the proceeds of the day.

These measurements indicate that the airlines can increase their competitive advantage, if the cash management right for purchased goods and services. In reality, this is especially true if interest rates rise and inflation. The increased costs and thus can hold the sharesalso go up to about 20 to 30% of the costs of entry in order to save for a year. Proper management of stocks may require operating costs by minimizing the possibility of reducing the transaction, making it easier to win higher profit margins and market share.

Many operations leaner and more demanding supply networks in the field of aviation work with the new business model. Inefficiency may be financial implications in terms of aircraft on the ground (AOG) situation lead. For this reason, it isimportant to improve and maintain the maximum leverage to integrate the management of the ERP system for supply chain end-to-end.

While the various departments to come with their own goals, the key here is to communicate effectively both externally and internally within the organization to reach a level that the activities of strategic operational execution.

Inventory organizational KPIs must base its suppliers be linked to the supply chainwork well in the same direction. This is particularly important in key supply chain management supply chain vulnerability and risk are to ensure the continued safe.

Apart from the importance of logistics and warehouse for strategic and operational success in the aerospace sector, the inventory KPI should be dynamic and must move with the business strategy. For example, shows that lean inventory operations KPIs in accordance with the activitiesin the supply chain.