TermiKnowledge - Supply Chain, Procurement and Inventory Terminologies
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Certified Inventory Optimization Professional (CIOP) is an end-to-end supply chain certification program. The certification consists of 30 modules focusing both on traditional and futuristic topics. The traditional topics are introduction to supply chain management, all about inventory, strategic business planning, forecasting, demand management, capacity management, sales and operations planning (S&OP), master scheduling (MPS), materials requirements planning (MRP) and production activity control (PAC). It also includes topics on procurement, warehousing, transportation, distribution, and packaging. The topic on the future trends such as Blockchain, Internet of Things (IoT), Robotic Process Automation (RPA), Machine Learning (M/L) and Artificial Intelligence (AI). There is a significant focus on supporting technologies such as forecasting and process mapping tools such as Microsoft Visio. In addition to the above indicated topics the participants need to master over 3000 terminologies in supply chain management.


The term Backlog means different things to different people. For instance, some call it a stock, while others call it a reserve inventory. To the layperson, a Backlog represents the total inventory period, or an inventory that hasn't been used. Conversely, a system with an unusually high backlog is generally inefficient since it takes more time to fill orders against the backlog than systems with low average backlogs. However, it can also be confusing, as the 

terminology itself can mean different things, depending upon the application in question. In the context of manufacturing and warehousing, however, a Backlog is simply a unit in a supply chain management system that functions to maintain adequate levels of inventory and deliver product to customers.

Supply chain management involves planning for peak seasonal times, such as vacation periods and the end of a school year. Since most of the consumer product supply comes in the form of physical merchandise, supply chain management is essential to ensure that enough storage is available to meet the demand during these times. Backlog is the main cause of operational cost in the retail and wholesale distribution industry, as well as many other types of manufacturing and warehouse operations in all business sectors. Proper backlog control helps reduce costs by allowing the resources of the company to be focused on its core tasks, increasing customer satisfaction and reducing supply chain costs.

Proper backlog management requires that inventory managers create a framework which identifies risk factors and preventive measures. It is important to develop a Backlog Management plan, detailing when inventory is to be held, how much, if any, inventory will be held, what kind of merchandise to hold, when it will be held, what kind of inventory to hold in what quantity, and other factors. When creating your Backlog Management plan, it is important to ensure that you document all inventory-related activity and keep accurate documentation of all receipts and disbursements. By using a manual Backlog system, you can reduce errors in your management procedures, while also maintaining a higher level of productivity due to a higher level of accuracy in your inventory management. A manual system also allows you to make faster decisions regarding your inventory needs, allowing you to respond to customer orders more quickly.

Certified Inventory Optimization Professional 

CIOP is an end-to-end supply chain certification that contains 30 modules such as Introduction to Supply Chain Management, All About Inventory, Production Planning System, Strategic Business Planning, Sales & Operations Planning, Master Scheduling, Material Requirements Planning, Demand Management, Capacity Management, Forecasting, Production Activity Control, Procurement, Order Quantities, Independent Demand Ordering Systems, Warehouse Management, Transportation Management, Supplier Relationship Management (SRM), Customer Relationship Management (CRM), Introduction to Quality, Introduction to Packaging, Introduction to Process, Lean, Six Sigma, Total Quality Management, Theory of Constraints, Supply Chain Technologies, Supply Chain Techniques, Industry 4.0, International Standards and Supply Chain Risk, Safety and Security. 

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CIOP Knowledge Series

One-Minute Supply Chain Facts

The most recent video is available here. To access the past videos in the One-Minute Supply Chain Facts Series, please click the playlist icon located on the Top-Right of the video.




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