Variable or Dynamic Information

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In any manufacturing operation, you will always have a need for a way to track your inventory. It can either be dynamic, where you can use a time based inventory (TIC), or variable, where you can capture information at the point of production. TICs are time based, but they do not show you how much inventory is on hand at a given time, or even how much inventory is coming in. On the other hand, a variable inventory system will allow you to record the inventory of items as they change during production and allow you to easily adjust the inventory-holding capacity of your facility. When properly implemented, a good control system can help you better manage the inventory in your plant, allowing you to service the customers and meet all of your sales obligations.

A good way to think about a variable or dynamic information system is to imagine a waterfall. In order for us to see the waterfall, we must go down it at the same rate each time, or we will miss some part of the picture. The objective of any CFO is to have a continuous flow of information from the manufacturing, sales, and service activities of the company so that the CFO can make better decisions for the company at all times.

Inventory systems are an important part of every manufacturing operation. There will always be a need to track the inventory of every item produced in the factory. This is why there is always a need to have the best equipment in the business as well as the most modern computer systems that support a variety of formats. The flow of information from the manufacturing plant to the CFO is vital to the success of the company. Proper inventory control ensures that the inventory on hand is accurate and in balance.

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