Research on Inventory Management of Small and Medium-sized Manufacturing Enterprises in China under Supply Chain Environment

Most enterprises have problems of liquidity shortage and poor capital turnover. This is the pressure of funds caused by the large inventory of enterprises. Excessive inventory will not only occupy a large amount of corporate capital, but also cause a series of The extra cost of the product will increase the cost of the product; while the inventory is too small, it will not be able to meet the market demand in a timely manner, and it will not be able to cope with the complex market changes. The purpose is to solve these problems and find the optimal combination of inventory costs and inventory benefits. On top of these, coupled with the development of information technology, it is the general trend that companies take advantage of the advantages of supply chain management to scientifically manage their inventory. Keywords— supply chain; inventory management; cost.

links. The status of its inventory management also depends on the importance and attitude of the general manager.

Excessive pressure on three funds in inventory and analysis of reasons
Small and medium-sized manufacturing enterprises generally face excessive pressure on three funds, which seriously affects the capital turnover of enterprises.
The reasons are as follows: (1) Due to the gradual distortion of information transmission in the supply chain, enterprises are not allowed to predict demand, which increases the purchase of raw materials and increases the pressure on inventory.
(2) The advance pre-purchase period for some raw materials is too long, which increases the order quantity of raw materials, resulting in an increase in raw material inventory.
(3) The market we face is constantly changing, and the orderer may change or cancel the order if the market changes. If the raw materials have been stored in the warehouse, or are already in production, or have been produced, even the sudden change will be subject to the other party's penalty. Compensation, but raw materials, work in progress, and finished goods in stock will still increase.
(4) Improper communication between various departments within the company, errors in information exchange, resulting in a mismatch between output and sales, overproduction, and redundancy in finished products.
(5) The procurement periods of various raw materials are different. Without one, the production and assembly of the product cannot be completed, which causes the waiting period of some links to increase. In this case, the inventory of work in progress will be increased.
(6) The company's product brands and models are diverse.For most purchasers, they will not only buy a single product. Therefore, according to customer needs, the company needs to stock various products and send them to the purchaser after the distribution is complete. This has caused an inevitable backlog of finished product inventory, and even affected delivery, causing the loss of customers.

Low inventory turnover rate and reasons
The inventory turnover rate is an indicator that reflects the speed of the company's products and capital flow, and the low turnover rate largely indicates that the company's goods circulation speed is slow, which means that it takes a long time to obtain profits and therefore restricts the development of enterprises. There are situations where inventory turnover is low.
The reasons are as follows: (1) The company mainly relies on orders for production, but the time from accepting the order to generating the raw material purchase order is too long. After receiving the customer order, the company plans to purchase staff based on the existing finished products, work in process, and raw materials in the warehouse. According to the actual conditions, a purchase order is generated for the demand for each raw material, and the purchaser starts the purchase according to the order. This process is generally long because the inventory information is not fixed and the warehouse materials are always in a flowing state, making it difficult for the plan purchaser to distinguish The specific use of materials, and secondly, the inaccuracy of some (2) The procurement cycle of some raw materials is long.
(3) The inventory backlog caused by various reasons has also reduced the inventory rotation rate to a certain extent.
(4) The purchaser delays the delivery. Because the seller also has its own inventory, sometimes because of changes in the market, the seller's own inventory is left, but the forecasted order has been submitted to the manufacturer, and the product has been output, and the purchaser It delayed the pickup for various reasons to maintain the rationality of its inventory, but it caused the manufacturer's inventory rotation rate to be low.

Analysis
After analyzing the feedback from the questionnaire survey of the major customers, it was found that customer satisfaction did not reach the desired goal.If these problems were not resolved in a timely manner, it would affect the company's credibility, which would have a negative impact on sales and cause more inventory backlogs. as follows: (1) Failure to ship in time. Mainly due to unreasonable production plans and failure to produce all products required by customers in a timely manner. Because customers' orders will not be a single product, but will require multiple product combinations, and the products on the order As long as one of them is not completed on time, it cannot be shipped according to customer requirements. If you choose to distribute to the customer in batches, that is, to send the completed product to the customer first, and the remaining reissue will not only increase the transportation cost, but also the customer may Some products are out of stock and cannot be assembled and used, which causes dissatisfaction with the company.
(2) Incorrect delivery. The types of incorrect delivery mainly include the wrong product model, the lack of some products, and the lack of a certain number of products. The responsibility of the dispatcher is very important. Once negligent, it will cause some irreparable losses. If you send the wrong goods, you will first reduce your trust in the company and return the goods. The good situation is to give you a chance to re-ship. If you directly return the goods to cancel the order, it will mean that you will lose customers. .
(3) Packaging problems. First, the packaging is not strong enough, and it is damaged during transportation.
Second, the packaging is not installed in the way required by the customer.
(4) Product quality issues. First, the quality inspection staff did not detect defective products in a timely manner; second, there is still room for improvement in production technology; third, the impact of warehouse facilities and the environment on the product; fourth, poor packaging Wear; Fifth, the damage to the product caused by insufficient protection measures during transportation.
(5) Transportation problem: The transportation is not carried out in the way requested by the customer.

Corporate personnel's weak awareness of inventory management informatization
Grass-roots personnel are not highly involved in the overall development of the enterprise, and will only be  suppliers. The situation where the book data does not match the actual inventory has not been discovered and improved in a timely manner, resulting in a large number of potential losses. This is the case for most SMEs.  (3) Improve the inventory turnover rate. Some suggestions for improving the inventory turnover rate:

Enterprises' inventory management has
Strictly control the amount of main materials and strengthen the connection of various production processes, so that the speed and efficiency of material turnover are improved, and it can be put into sales quickly; slow-moving products and senior Inventory price reduction; promote sales and productivity; use advanced information technology to shorten the time from receiving an order to generating a raw material purchase order; shorten the cycle; formulate guidelines, non-special reasons purchasers must not delay delivery.
(4) The supply chain procurement model is adopted.
Traditional procurement management is based on inventory procurement. The information of enterprises at all levels is opaque, and it is difficult to avoid the problem of distortion