Discussion: Government

Inventory Management
Institution
Date

Inventory management plays a critical role in enabling the service provides to monitor the demands of commodities thus enhancing satisfaction to customers. According to Kleber (2006), efficient stocking is greatly influenced by the flow of goods and services offered to the target group. For instance, old stock will cost money and other resources such as insurance and storage. Government’s inventory management system is essential in monitoring the performance of different economic sectors; adding value on the nature and levels of the services given its citizens. More so, the government attains the capacity to compare levels of competitions in the stock market between government parastatals and the private firms. Such information is useful in order to adjust the marketing strategies aiming to generate more income.
In addition, the government bears the potential of controlling and improving the operation behaviors of security force implementing various policies on inventory management. For example, the army can cut off excessive expenditures on aviation parts by engaging the best logistic practices. The distribution systems for different commodities can be improved by establishing a reliable state of art department that would speed ordering and delivery of the goods to the locations required within a short time. Moreover, it would to an easy task to get rid of the excess inventory, and transferring them to different warehouse thus minimizing production backlogs. Cellular production techniques are likely to improve the supply of consumable parts to various workshops, hence increasing the innovativeness in meeting the logistics in the military forces (Kleber, 2006).
Good inventory management system will guide the business orga...