Introduction:

On February 21, 2023, Dr. Soumya Vaithinathan delivered a guest lecture on inventory management, which was attended by students of Operations and Supply Chain Management at ITM Business School. The lecture focused on the importance of inventory management in supply chain management and its impact on business operations. 

Key Takeaways:

1. Inventory management is the process of overseeing the flow of goods from manufacturers to warehouses, and from warehouses to retailers or customers. It involves keeping track of inventory levels, ensuring that inventory is available when needed, and minimizing the costs associated with storing and managing inventory.
2. The two main types of inventory are raw materials and finished goods. Raw materials are the components and materials needed to produce goods, while finished goods are the products that are ready for sale to customers.
3. The costs associated with inventory management include ordering costs, carrying costs, and stockout costs. Ordering costs are the expenses incurred when placing an order for inventory, such as the cost of processing the order and transportation costs. Carrying costs are the expenses associated with storing and managing inventory, such as rent, utilities, and insurance. Stockout costs are the expenses associated with running out of inventory, such as lost sales and lost customers.
4. Effective inventory management can help businesses reduce costs, improve customer satisfaction, and increase profitability. Some of the techniques used in inventory management include just-in-time (JIT) inventory, economic order quantity (EOQ), and safety stock.
5. EOQ is a formula used to determine the optimal order quantity for inventory. It considers the ordering costs and carrying costs associated with inventory and can help businesses minimize total inventory costs.  
6. Safety stock is a reserve of inventory that businesses keep on hand to ensure that they have enough inventory to meet demand, even if there are unexpected disruptions in the supply chain. 

Conclusion: 

Dr. Soumya Vaithinathan’s guest lecture on inventory management provided valuable insights into the importance of effective inventory management in supply chain management. The lecture highlighted the costs associated with inventory management and the techniques used to reduce these costs while ensuring that inventory is available when needed. Students who attended the lecture gained a better understanding of the role of inventory management in business operations and the benefits of effective inventory management for businesses.