Vendor Managed Inventory resources
Based on Odette’s Vendor Managed Inventory (VMI) and AIAG’s Inventory Visibility and Interoperability Min/Max Replenishment Business Process Future State (IBP-1), this recommendation explains how significant cost savings can be achieved by implementing Collaboratively Managed Inventory (CMI) Min/Max processes. Using CMI Min/Max leads to increased visibility between suppliers and customers and to a reduction in administration and transport costs.
This Odette recommendation has been developed to assist suppliers in the management of inventory production. The Vendor Managed Inventory (VMI) process explains how suppliers can efficiently analyse inventories and maintain production levels between set maximum and minimum amounts. This can bring significant benefits by reducing administration and logistics costs whilst ensuring the on-going security of supplies.
EDI Implementation Guideline
Based on EDIFACT INVRPT D.13A