Challenges for Chemical Industries & Allied Industries
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Multiple end items may require that the cost of the entire process to be split based upon a percentage split of cost. The production of all items – intermediates, semi finished goods, finished goods etc is taken up batchwise.
The batches are required to be tracked from the point of purchase to production and consumption. The inventory evaluation is also based on the batches. Further the batches would be associated with the attributes of the products.
The finished materials are packed in a different variety packing materials and in dispatched in different packaging combinations.
For the sake of profitability, the management of the damaged stocks plays a critical both in terms or value as well in terms or logistics. The organization needs to manage and monitor the quantity and value of its damaged stock.
The reprocessing of non-conforming products, damaged products, damaged packing etc is an important activity in the Paint Industry. The management of packing materials in transit etc directly adds to costs of distribution.