Assessment 3: Individual Assessment Due Date: 26 Se]: 2021 Value: 30% (50 Marks) Instructions This is an individual assessment covering learning outcomes of 1,2,3 and 4. Case Study Youjust started working in a new role as Inventory Manager for Super Distributors Pty Ltd. In few days you realized that the previous manager had little knowledge in inventory management as he was mainly an administration person who was roped in this role due to cost cutting measures. Excessive stock holding was also a major issue with cash tied up in stock and the company is struggling with its cash ow. Stocktaking has also been a major issue where the Internal Auditor in his last report indicated that there are no pre-planning for stock take and that there are huge discrepancies arising from stock take itself forget about the signicant level of stock variance noted after stock lake which is the resultant of poor stock take planning. You company holds stock value of approximately 31m (in your local currency) with key categories such as Pharmaceutical, Stationery and Liquor. Your General Manager asked you to present to him and to the Managing Director addressing the following key issues which he feels important to bring high level of efciencies and accuracy in the inventory management. Instruction Based on the case study above, you are required to: 1. Identify at least 35 risks involved in holding inventory. Your GM needs to understand more on carrying cost, so you are required to explain in detail the key components of carrying costs relating to one of the major products which is Ice Cream Distribution to local retailers (10 marks). 2. You are also required to prepare a plan for stock take. This should include the best method for stock taking, pre-stock planning, during stock take what procedures should apply and aer stock take what should be the proper approach towards detecting the stock take errors to reduce the stock variance. (15 Marks) 3. Explain how Pareto's 80/20 Principle can assist the rm to better manage the inventory for this company. You should explain using various analysis (such as VED etc). You should focus on three key category of items and explain which analysis will be appropriate with justications: The categories are: Pharmaceutical. Stationery and Liquor (15 Marks) 4. Your Line Manager also asked you to establish a checklist to detect any signs of poor inventory management which he can use to monitor the perfomrance of the unit now under your control. List down signs and explain withjustications (10 Marks) Page 1 of 2 Report Directions The written report must he: i.Typed iv.Arial or Times New Roman ii.Dnublespaeed v.Electrunic Submission on USP e~Leam. iii. 1 2-point font Contents are as follows on separate sheets of paper: 1. Cover sheet 2. Report: 0 Title page 1 Findings 0 Executive Summary I Recomrnendalions. - Introduction/Objectives I Conclusions. - Appendix Marking Rubric: Remit limil l \\l.u'ln ': Hamil \\Lu'lu III C) <