Is toothache just a toothache or can it be a symptom (sign) of other problems with our body?
Toothache, cavities and damage to the teeth may not be solely related to the tooth and can be a symptom of problems and diseases such as liver or gallbladder or kidney inflammation or otitis media or tonsillitis or ulcers and even heart related problems. In addition, the smell of acetone in the mouth and uncontrollable gingival bleeding may be the harbinger of some types of cancer, such as diabetes or recurrent regional gingival bleeding and different gingival growths in the mouth, leukemia.
Like a toothache, insufficient or excess inventory is also bad, and indeed this can be a signal of some problems with the operation of the company (marketing, sales, production, procurement, purchasing, logistics…).
Your stocks; illusory sales forecasts or poor sales or unnecessary purchases (we found it cheap, buy it right away, more quantity so that it is cheap, or supply from a distance because it is cheaper) or not saying “no” to the customer or short delivery performance of competitors or high quality-related scrap and wastage in production, or Could it be that the bill of materials and bill of materials is not correct, or the instinct of all business divisions from sales to production to be inflated due to overproduction or unsafe suppliers (missing or late shipping) or increased returns to reduce unit cost?
Your stocks, the sales team’s inability to follow the customer changes correctly (sudden demand increase) or the increase in demand due to the increase in demand due to the sales campaign or the increase in demand due to price competition, or the damage & loss in the warehouse due to bad conditions or the increase in wastage due to different raw materials, or the decrease in production by the undeveloped supplier or the lack of risk management or due to line stoppage in production or lean production “as if”.
It is very important that the “stock records” are correct for the correct management of stocks. The “most important” factor in the accuracy of this is the mistakes of the people involved in stock management and their lack of the necessary competence (knowledge, skills) for stock management and stock recording (1)
Correct management of stocks is especially important for the %22stock keeping day%22. For example, in China “Stock-keeping day” from 2nd tier supplier (2nd tier) to sale, 70 days for automotive spare parts; It could be 320 days for pharmaceuticals, 90 days for consumer products, and 100 days for high-tech products. This period is 1. From the tier 1 supplier, it can be 100 days for wholesale retail, 110 days for apparel retail, and 200 days for semiconductors (2). If these times are uncontrollable or prolonged, stock levels and stock holding time will be adversely affected.
For the distance and inventory relationship, I highly recommend you to look at the https://acetool.commerce.gov/cost-risk-topic/inventory web page prepared by the US Department of Commerce.
Turkey’s Gross Domestic Product (GDP) increased by 6.7% in the 3rd quarter of 2020 according to the chained volume index. “stock change” is not calculated when calculating the chained volume index. On the other hand, GDP by production method is 1.4 trillion TL at current prices, which includes %2290.8 Billion TL%22 worth of %22stock changes%22 (32 Billion TL in the 2nd Quarter of 2020, 2,75 Billion TL in the 3rd Quarter of 2019). The sectors seem to have %22stocked%22 for the future as of the 2nd quarter. How will these stocks affect the supply chain and logistics? Will our teeth hurt?
Source:
- State of Supply Chain Inventory Management 2020, Verusen
- Supply Chain recovery in coronavirus times-Plan for now and the future, 2020, McKinsey & Company
- TURKSTAT, Periodic Gross Domestic Product, III. Quarter: July-September, 2020