Biomedical subjects
Publications and source records attributed to G L Kilty.
How can a company reduce its inventory costs as much as 35 to 50% of its current assets? The key to reducing inventory is to evaluate the entire supply chain, including an assessment of procurement, production, and distribution.
This article is designed to introduce the techniques used to convert traditionally maintained department budgets to baseline budgets. This entails identifying key activities, evaluating for value-added, and implementing continuous improvement opportunities. Baseline Budgeting for Continuous Improvement was created as a result of a newly named company president's request to implement zero-based budgeting. The president was frustrated with the mind-set of the organization, namely, "Next year's budget should be 10 to 15 percent more than this year's spending." Zero-based budgeting was not the answer, but combining the principles of activity-based costing and the Just-in-Time philosophy of eliminating waste and continuous improvement did provide a solution to the problem.