An Analytical Study on Inventory Management in Commercial Vehicle Industry in India

Inventory means "the aggregate of tangible property which are sale in the ordinary course of business, process of production for such sale, and to be available for sale". Inventory constitutes a major component of working capital. Inadequate inventory adversely affects smooth running of business, whereas excess of it involves extra cost, thus reducing profits. To evaluate the practices and performances in inventory management in the Commercial Vehicle Industry in India, the present paper attempt has been made to analyse size, composition, circulation and growth of the inventory in the selected companies during the period under study.