If the kneading machine fails then there should be another way to knead it, bake it or use the flour to make something else from the items in the product line that the company offers. In order to mitigate this, the manufacturer can use the principle of decoupling inventory to keep extra flour if the grinding machine fails, keep some buffer knead to cut it and shape it for future steps. If any of the machines get damaged or stop working due to an issue, the entire production process can get delayed. For processes such as grinding, backing, kneading and cutting, various machines are put into use. If a manufacturer makes bread and biscuits that require the use of flour, they must purchase a huge amount of wheat to grind it into flour. One example for a manufacturing unit is as follows: An Example of Decoupling Inventoryįor different purposes, the relevant decoupling inventory example can vary depending on the situation.

Manufacturers need to ensure that if any of the machines involved in production breaks down or slows down production rate at any point, production does not get affected. Buffer inventory is stored in order to prevent one step of production from causing delays in other steps. Conclusion: How Can WareIQ Help in Decoupling Inventory?ĭecoupling inventory, also known as decoupling stock, is the process of separating extra inventory within a production process to ensure smoothness in every operation.How Does Decoupling Inventory Affect the Supply Chain?.Decoupling Inventory vs Pipeline Inventory.Provides Protection During Periods of Uncertainty.Maintains Buffer Stock for Repairs and Maintenance.How Can You Achieve Decoupling Inventory?.

Decoupling inventory definition