Inventory Analytics

assessing industries by inventories over total assets

Subramani Yogesh

M.Sc Mechanical Engineering

Nanyang Technological University

Inference

• From the table, we can conclude that Consumer Staples in US has a median value of 0.13 which means that it spends its assets more on its inventory

• Consumer Staples is then followed by Materials which has a median value 0.11 and Indutrials/Information Technology which has median value of 0.1.  

• These are the industries which requires proper Inventory Management to reduce its cost incurred at overall process.

Inference

• The condition seems almost similar in China when comapred to US.

• The Consumer staples has a median value of 0.13 and Industrials has a median value of 0.12. These are the two industries which requires Inventory Mangement.

• Other industries in China have their optimum value of Inventory/Total Asset ratio in the range of 0.01 to 0.02. Hence no intervention is needed for those industries.