entrepreneurial management.pptx
DESCRIPTION
keusahawanan di malaysia.TRANSCRIPT
ENTREPRENEURSHIP DEVELOPMENT
(PB 504)
BY: MISS NORASIKEN BTE ABDUL
RAHMAN
Entrepreneurial Management
The Concept of Risk Management
Types of risks
Ways of Coping With Risk
The Concept of Stock Management
Stock Control and FIFO Method
Re-order Stock Level
The concept of risk management
Types of risk
Ways of coping with risk
The concept of stock management
Stock control and FIFO method
Re-order stock level
TYPES OF RISK
Financial risk
Market risk
Technology risk
Political and Economic risk
Operational risk
Environmental risk
A
F
CDE
B
The concept of risk management
Types of risk
Ways of coping with risk
The concept of stock management
Stock control and FIFO method
Re-order stock level
WAYS OF COPING WITH RISK
Risk Avoidanc
e(eliminat
e)Risk
Reduction (mitigate)
Risk transfer
(outsource or insure)
Risk retention (accept
and budget)
1
2
3
4
The concept of risk management
Types of risk
Ways of coping with risk
The concept of stock management
Stock control and FIFO method
Re-order stock level
THE CONCEPT OF STOCK MANAGEMENT
“Process of maintaining inventory data
on the quantity, location, and condition
of supplies and equipment due-in, on-
hand, and due-out, to determine
quantities of material and equipment
available and/or required for issue and to
facilitate distribution and management of
material”.Reference: The free dictionary online
The concept of risk management
Types of risk
Ways of coping with risk
The concept of stock management
Stock control and FIFO method
Re-order stock level
STOCK CONTROL AND FIFO METHOD
STOCK CONTROL
The activity of checking a
shop’s stock
The concept of risk management
Types of risk
Ways of coping with risk
The concept of stock management
Stock control and FIFO method
Re-order stock level
STOCK CONTROL AND FIFO METHOD
F
I
O
F
irst
in
irst
ut
FIFO is an inventory costing
method which assumes that the first items placed in inventory are
the first sold.
The concept of risk management
Types of risk
Ways of coping with risk
The concept of stock management
Stock control and FIFO method
Re-order stock level
STOCK CONTROL AND FIFO METHOD
“An abstraction related to ways of organizing and
manipulation of data relative to time and
prioritization”
Reference: WIKIPEDIA
Assume a product is made in three batches during the year. The cost and
quantity of each batch are:
BATCH QUANTITY COST OF PRODUCE (RM)
1 2000 8000
2 1500 7000
3 1700 7700
Let say you sold 4000 units during the year, out of the 5200 produced. Than calculate the units cots for each batch
BATCH QUANTITY COST OF PRODUCE (RM)
COST PER/UNITS
(RM)
1 2000 8000 4
2 1500 7000 4.667
3 1700 7700 4.529
So, the 4000 units sold, using:
1)The first 2000 units sold from the first batch cost RM 4.00 per unit.
2)The next 1500 units sold from the second batch cost RM 4.667 per unit.
3)The last 500 units sold from the third batch cost RM 4.529 per unit.
** The cost of the remaining 1200 units from the third batch is RM 4.529. These units will start off the second years.
The concept of risk management
Types of risk
Ways of coping with risk
The concept of stock management
Stock control and FIFO method
Re-order stock level
RE-ORDER STOCK LEVEL
“The point at which stock on a particular item has diminished to a point where it
needs to be replenished”
EXAMPLE:
Harish Corp. has a lead time for ordering stock of 7 days,
with a stock demand per day of 5000 units. To calculate
the reorder point, simply multiply the lead time in days by
the demand per day.
Reorder point = 7 days x 5 000 units = 35 000 units
The reorder point occurs when the stock on hand falls to a
level of 35 000.
Suppose Harris Corp. does not always receive its shipments on time or they like to keep additional stock on hand for emergency situation. This would change the reorder point as a certain level of “safety stock” is built in.
Reorder point = Lead time x stock demand per Day + Safety Level of Stock
Reorder point = 7 days x 5000 units + 2 days x 5000 units = 45 000 units
Thank you