Preparation Guide - ACCM 4100 Management Accounting 1
Workshop 6
Inventory management (Langfield-Smith et al, Chapter 15)
The purpose of this topic is to enable you to describe and explain the principles and issues involved in supply
chain and inventory management. In particular you will focus on applying the traditional inventory management
technique of Economic Order Quantity and comparing this with Just-in-Time (JIT) inventory management
techniques.
Learning Objectives:
After studying this chapter, you should be able to:
1) Describe supply chain management and analyse the costs of dealing with and managing suppliers.
2) Explain and apply the principles of traditional inventory management
3) Explain and apply the principles of Just-in-Time (JIT) inventory management.
What you need to do this week:
1. Read this Preparation Guide.
2. Read and understand chapter 15 of Langfield-Smith with reference to the listed learning objectives of the topic. See
the scanned pages for this. Make sure you achieve ALL the listed learning objectives.
3. Watch https://www.youtube.com/watch?v=bwl5ohf1qsg
4. Watch https://www.youtube.com/watch?v=PgHL0p6f-PQ
5. Watch https://www.youtube.com/watch?v=OXVi7dOF3jU
6. Complete the ‘before class’ questions below before attending your class. You are required to present your answers
carefully in writing. You are expected to be prepared to discuss these questions as soon as your class begins.
7. Be ready to work in teams during the class to complete ‘during the class’ questions and complete ‘after the class’
questions before the following week.
Questions to be completed
BEFORE the class
DURING the class
AFTER the class
Chapter 15 Review questions 15.4,
15.9,
Chapter 15 Review questions 15.5,
15.10
Chapter 15 Exercises 15.23, 15.24
Chapter 15 Exercise 15.25
Chapter 15 Problem 15.35, 15.38
Page
1
Solutions to the above questions will be available on MOODLE on Friday evening of the respective week.
Document classification: Internal