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Deborah J. Nightingale and Charles H. Fine. Romanov, Alexander, M.B.A. Massachusetts Institute of Technology Leaders for Global Operations Program. Leaders for Global Operations Program at MIT Massachusetts Institute of Technology. Department of Aeronautics and Astronautics Sloan School of Management 2013-09-24T19:37:13Z 2013-09-24T19:37:13Z 2013 2013 http://hdl.handle.net/1721.1/81016 857790287 Thesis (M.B.A.)--Massachusetts Institute of Technology, Sloan School of Management; and, (S.M.)--Massachusetts Institute of Technology, Dept. of Aeronautics and Astronautics; in conjunction with the Leaders for Global Operations Program at MIT, 2013. Cataloged from PDF version of thesis. Includes bibliographical references (p. 72-73). The research presented in this thesis explores two hypotheses focused on excess inventory at a heavy equipment manufacturing facility. The scope of the thesis includes inventory in the form of raw materials, purchased components, and work in process parts found at the facility and in the off-site storage warehouse. The first hypothesis proposes that excess inventory at the facility has several key root causes, and that their elimination drastically reduces the accumulation rate of excess inventory. The second hypothesis proposes that a basic material review process could be effective in identifying and reducing excess inventory at the facility in a six-month timeframe. The hypotheses were tested over a six-month period at a Caterpillar Global Mining facility. The first hypothesis was not confirmed. More than twenty root causes of excess inventory accumulation were identified and no evidence was discovered that would suggest that certain root causes are dominant. The second hypothesis was supported by the findings at the facility. The organization was able to formulate a basic material review process, apply the process to the facility's inventory, and reduce excess inventory by roughly 35% over a three-month time span. by Alexander Romanov. S.M. M.B.A. 84 p. eng Massachusetts Institute of Technology M.I.T. theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission. See provided URL for inquiries about permission. http://dspace.mit.edu/handle/1721.1/7582 Sloan School of Management. Aeronautics and Astronautics. Leaders for Global Operations Program. Analysis and reduction of excess inventory at a heavy equipment manufacturing facility Thesis application/pdf false Publication unknown unknown <Publication xmlns="https://www.openaire.eu/cerif-profile/1.1/" id="d2aa2c8b-f3c1-4945-8e6d-d41e12f20ff3"> <Type xmlns="https://www.openaire.eu/cerif-profile/vocab/COAR_Publication_Types">http://purl.org/coar/resource_type/c_1843</Type> <Language>eng</Language> <Title>Analysis and reduction of excess inventory at a heavy equipment manufacturing facility</Title> <PublishedIn> <Publication> </Publication> </PublishedIn> <PublicationDate>2013</PublicationDate> <Authors> <Author> <DisplayName>Romanov, Alexander, M.B.A. Massachusetts Institute of Technology</DisplayName> <Affiliation> <OrgUnit> </OrgUnit> </Affiliation> </Author> </Authors> <Editors> </Editors> <Publishers> <Publisher> <DisplayName>Massachusetts Institute of Technology</DisplayName> <OrgUnit /> </Publisher> </Publishers> <License>http://dspace.mit.edu/handle/1721.1/7582</License> <Keyword>Sloan School of Management.</Keyword> <Keyword>Aeronautics and Astronautics.</Keyword> <Keyword>Leaders for Global Operations Program.</Keyword> <Abstract>The research presented in this thesis explores two hypotheses focused on excess inventory at a heavy equipment manufacturing facility. The scope of the thesis includes inventory in the form of raw materials, purchased components, and work in process parts found at the facility and in the off-site storage warehouse. The first hypothesis proposes that excess inventory at the facility has several key root causes, and that their elimination drastically reduces the accumulation rate of excess inventory. The second hypothesis proposes that a basic material review process could be effective in identifying and reducing excess inventory at the facility in a six-month timeframe. The hypotheses were tested over a six-month period at a Caterpillar Global Mining facility. The first hypothesis was not confirmed. More than twenty root causes of excess inventory accumulation were identified and no evidence was discovered that would suggest that certain root causes are dominant. The second hypothesis was supported by the findings at the facility. The organization was able to formulate a basic material review process, apply the process to the facility&apos;s inventory, and reduce excess inventory by roughly 35% over a three-month time span.</Abstract> <Access xmlns="http://purl.org/coar/access_right" > </Access> </Publication>