Inventory Management System (IMS) is a bit of a misnomer because it is a comprehensive program that includes Stock Management, Production and Consumption Management, In-line Quality Monitoring, Material Requirement Planning (a.k.a. MRP-I), Production Monitoring besides Planned Maintenance functions.

IMS reports many variances to focus attention on areas where it is needed – these may impact profitability of the enterprise. For e.g., Consumption Variance is reported with its two components – Price Variance (purchase function) and Quantity Variance (production function) and both must be controlled to avoid impacting the bottom line. Production Quantity or Production Date slippages, plan versus actual variances, affect the order fulfilment commitments and impact the productivity of the enterprise as well as relationship with Customers. Quality Variance can lead to Customer rejections or reworking of a production quantity.

MRP-1 requires input of production plan – user has to make this based on confirmed orders and forecast of sales. The program utilises BOM (or “Standard Processes”) masters defined by the user, to generate a report of items required to be produced or purchased in order to meet the production plan targets. These requirements of production (of intermediate items) help the production manager plan his work and the  recommendations for procurement which can be converted to purchase orders help the purchase manager. The program recommendations for purchase are generated after accounting for the stocks on hand, stocks on order and computed material requirements.

Planned Maintenance can be scheduled based on calendar or usage (for e.g. running hours per day) of equipment – detailed Job Cards are generated by the program for maintenance engineers – which describe specific tasks to be performed or parts to checked or replaced besides skill levels required and estimated time to complete the maintenance routine.

Multimedia objects can be stored with items, maintenance routines etc. IMS is linked to Financial Accounting System, Purchase and Sales Management modules.

IMS thus works as a stock accounting, production, quality, material requirement planning and maintenance management system.

The program provides for a robust security administration.