The Functions and Costs of Inventory

  • Reference: PN-320-E

  • Number of pages: 16

  • Publication Date: Feb 1, 1993

  • Source: IESE (España)

  • Type of Document: Technical Note

  • Company: Sony, PlayStation, Acer, Wipro, Xerox, HP, Canon, Microsoft

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This note defines the concept of inventory and classifies it according to function: batch, security, advance, etc. Finally, it describes the costs entailed in a given inventory policy. A table shows the ABC classification scheme.