CHINHOYI UNIVERSITY OF TECHNOLOGY
SCHOOL OF ENTREPRENEURSHIP & BUSINESS SCIENCES
DEPARTMENT OF SUPPLY CHAIN MANAGEMENT
DEGREE : BACHELOR OF SCIENCE (HONS) DEGREE IN SUPPLY CHAIN
MANAGEMENT
COURSE : INVENTORY AND WAREHOUSE MANAGEMENT (SUPPLIMENTARY)
CODE : CUSCMM 225
TUTORIAL QUESTIONS
1. Discuss the key differences between Just-In-Time (JIT) and Economic Order Quantity
(EOQ) inventory management systems. How do each of these systems impact a
company's inventory levels and overall costs?
2. Describe the ABC analysis in inventory management. How can this analysis be used to
prioritize inventory management efforts?
3.
System Extract Physical Count
Stock Product Unit of Price Quantity Base Quantity Unit of
Code measure Unit of Measure
Conversion Measure
P923SO Brake Pads 1 Pair= 2 $20 2 pair 4 pair
each
P925M Tyre 14” 1 Set = 4 $200 3 Set 12 each
each
P927M Rear 1 Each = 1 $45 11 Each 12 each
Shocks Each
P928C Coolent 1 Each = 5 $28 25 Each 15 litre
litre
P929G Gear Oil 1 Each = 200 $10 2 Each 450 litre
a) U s i n litre g t h e a b o
the system records and the physical count:
i) in quantity (6)
ii) in value (7)
iii) in the last row, indicate the net effect of differences in dollars (gain or loss). (3)
b) Explain 3 prerequisites for physical inventory count to take place. (10)
4. Explain the concept of cross-docking in warehouse management. What are the potential
advantages and disadvantages of using cross-docking as a warehousing strategy?
5. a) XYZ Ltd has got five stock keeping units (SKU), A, B, C, D and E each containing
different numbers pallets as follows: A-4, B-6, C-14, D-8 and E-5. The available pallet
positions only allows pallets to be stacked 3 high.
i) Calculate the pallet positions needed for each SKU. (5)
ii) Calculate total space utilization for XYZ Ltd and comment on the figure. (5)
b) Evaluate the contribution of WMS in warehouse management. (15)
6. Discuss the role of warehouse management systems (WMS) in modern warehouse
operations. What are the key features of a WMS, and how do they contribute to
operational efficiency?
7. With the aid of a diagram, describe the various types of warehouse layouts. How does the
choice of layout affect the efficiency of warehouse operations and the overall supply
chain?
8. Analyze at least three storage equipment and three materials handling equipment for the
efficient running of the warehouse, clearly stating the purpose, strengths and weaknesses
of each. (25)
9. a) Stock deterioration is a cost. Discuss ways that can be used to avoid obsolete or dead
stock. (20)
b) Nelson hardware store stocks a 19.2 volt cordless drill that is a popular seller. Annual
demand is 5000 units, the ordering cost is $15, and the inventory holding cost is $4 per
unit per year. What is the EOQ? (5)
10. ABC Ltd is an organization that distributes small value electronic products. As the stores
manager, you have been asked to conduct the following:
a) Evaluate the security risks present in the storage of these products (10)
b) Analyze how poor security management can affect customer satisfaction (10)
11. Discuss the impact of materials handling equipment in adding value to the warehousing
operations (25)
12. Discuss the impact of lead time variability on inventory levels. How can companies
mitigate the risks associated with lead time variability?
13. Evaluate, with relevant examples, five factors that may influence the stock holding policy
of an organization. (25)
14. What are the key considerations in choosing a warehouse location? Discuss how factors
such as proximity to suppliers and customers, transportation infrastructure, and labor
availability influence this decision.
15. The modern day warehouse must employ Warehouse Management Systems in their
operations. Unpack this statement. (25)
16. You are a member of a project team that has been set up to find more storage space for a
growing retailer which sells non-food products for example books and stationery. The
budget does not allow for a new building and so you will have to select from a range of
pre-built warehouses. Analyze the factors that you would need to consider when
evaluating if an existing Warehouse site is suitable for the organization’s needs. (25)
17. ABC limited is a new company purchasing cordial drinks at a large scale in Zimbabwe.
The company wants to export the products to southern African countries the types of
Warehouse that are available are private, public and contract. Advise the best option to
use. (25)
18. Formulate a health and safety policy for a warehouse that stores flammable petroleum
products. (25)
19. Discuss the relationship between Materials Handling and Warehouse design of your
choice. (25)
20. Explain the importance of the knowledge of statutory instruments that govern warehouse.
(25)
21. Explain how a warehouse manager can ensure security of goods within the warehouse
(25)
22. Critically analyze the contribution of Enterprise Resource Planning (ERP) systems to
inventory and warehouse management for an organization of your choice. (25)
23. Explain five ways that an electronics dealer in Zimbabwe can deal with redundant stock.
(25)