IM 06

Improved Inventory Management System for a Jute Mill - A Case Study.

Md Arafat Hossain1,

Kawser Hossain2,

Shubhra Kanti Das3,

Joyanta Paul4

[1,2,3,4]Department of Mechanical Engineering,

Khulna University of Engineering &Technology (KUET),

Khulna-9203, BANGLADESH

Abstract

This project work has been carried out for investigating the existing Inventory Management system of the Eastern jute Mills Limited, Khulna, Bangladesh. Eastern Jute Mills Limited manufactures jute products such as hessian, sacks, and jute carpet backing clothes.

It was founded in 1967 and is based in Khulna, Bangladesh. It also operates as a subsidiary of Bangladesh Jute Mills Corporation. For investigating the Inventory related data and information, the necessary data has been collected from this Jute Mill.

By close look of the present inventory management system and discussing with the executive personals of the Eastern Jute Mills Limited, Khulna, A clear conception of the existing Inventory Management system has been gained. ABC analysis has been carried out for annual demand.

Raw Jute purchasing procedure has been examined and storing procedure has been observed by close observation to find out the major drawback of the existing inventory management system.

Finally it has been focused to suggest an improved Inventory Management system for the Eastern Jute Mills Limited, Khulna, Bangladesh.

Keywords: Inventory Management, Demand, Lead time, Holding cost, Depreciation, ABC Analysis