AGEMENT Inventory is the stock of any item or resource used in an organization. An inventory system is the set of policies and control that monitor levels of inventory and determine what levels should be maintained, when stock should be replenished, and how large order should be. Inventory management is very important in any industry and even more in the food industry. Fast food restaurants is one of the food industry that need to make sure the inventory management smooth because fast food restaurant face a tough challenge in deciding the inventory levels. Fast food restaurant which is Royal Fried Chicken (RFC) take really serious about this inventory management because if their inventory or stock too much, a lot of the items are going to go bad resulting in a loss because their inventory is not inventory that last longer. So these restaurants should be really careful in managing the inventories. RFC using fixed –time period model in order to managing their inventories. This model is used in order to maintain the item “in stock”. This can monitoring the inventory level and …show more content…
RFC has to coordinate and manage all these and decide their inventory management strategy based on these items. It is absolutely necessary that all the items are stocked regularly as even a small delay in the supply of one item can lead to major problems. From all the inventory there is some of it need daily order and some of it ordered once a week. For example chicken and vegetable need to ordered daily and the supplier will deliver it to the restaurant every day. This is because of the chicken and the vegetable is the item that cannot keep in the inventory too long to make sure that it always fresh. Every day, the staff of the restaurant will do a daily check stock and if there is item that almost finish in the inventories, they will inform their management at their headquarters for them proceed to order the items from