Qrb 501 Inventory System a

Topics: Time value of money, Net present value, Inventory Pages: 3 (1004 words) Published: September 10, 2010
Inventory Management Problem
August 30, 2010


The purpose of this paper is to discuss an inventory management problem that currently exists within the California Department of Corrections and Rehabilitations (CDCR). This paper will focus solely on a sub-division of CDCR. The sub-division that will be discussed in this paper is North Kern State Prison. A proposal will be created to describe the organization as well as the inventory problem it faces. The proposal will address the benefits that are motivating the organization to implement a solution. Summer Historical Inventory Data will be used along with the Business Inventory System (BIS) to analyze the inventory problem. With the implementation of this proposal the forecasting of future inventory costs will be more precise.

Inventory Management Problem
North Kern State Prison (NKSP) is a sub-division of California Department Corrections and Rehabilitation (CDCR). NKSP was open in April 1993 and covers approximately 640 acres. NKSP currently employees 1,008 custody staff and 1,557 non-custody staff. NKSP houses approximately 5364 inmates. The annual operating budget for NKSP is $171 million. NKSP functions as a reception center for the processing of incoming inmates from Southern and some Northern counties. NKSP also functions s the Central California Transportation Hub for CDCR. NKSP went live with a new inventory system called Business Inventory System (BIS) on March 1, 2010. This system has been adopted by CDCR to ensure that all prisons are uniform in their inventory. This inventory system has been utilized by numerous well known corporations, who have commented that this system is advanced and has the capability to handle every aspect of a company’s need. Given that NKSP inventory includes everything from ordering food, office supplies, and medical supplies to armory equipment. With this vast inventory the need for a system to collaborate with...
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