Definition Of Floor Stock System

Stock management may also be called stock control inventory management or inventory control.

Definition of floor stock system.

1 definition material and components stored on the production floor used as needed for multiple production orders and not pegged or issued to individual orders. Floors can be established for a number of factors including. Normally lower dollar value backflushed items. The mrp system logic is that the quantity of stock on the shops in the floor stock balance which is an inventory balance is added to the store balance before the netting calculation is per formed.

1 a floor is the lowest acceptable limit as restricted by controlling parties usually involved in the management of corporations. Why is stock management important. The jobs on the shop that will use the item still show a requirement as the issue transaction has not taken place. This extra stock allows a retail business to resupply store shelves and display counters in between reorder deliveries.

Also called back stock. Inventory on hand that has not yet been loaded onto shelves. Stock management applies to every item a business uses to produce its products or services from raw materials to finished goods. Floor stock is different from non stock inventory since it does actually have an sku number and item master record but rather than tracking quantities in the inventory system the materials are expensed as they are received.

A floor stock system in a hospital involves the storage of pharmaceutical and over the counter drugs where they are needed usually in a nurse s station rather than in a pharmacy as explained on knowledge source. In other words stock management covers every aspect of a business s inventory. An interest rate floor is an agreed upon rate in the lower range of rates associated with a floating rate loan product. Interest rate floors are utilized in derivative.

It is the portion of inventory that is generally left in boxes in the back storage area until needed up front for display.