Case Study: Fibre Fashion

Part A


The research paper primarily presents the attempt which acts as an analysis of the theory in the sphere which is related to the management of the information systems. The textile industry, in this case Fibre Fashion acts as one of the leading superior quality of fabric which detects the quality standard and market requirement which can help in one of the leading processes of manufacturing of the trendy garments. However, the company must focus on developing and investing in high-quality of information systems which are related to the simplifying processes of data and statistics. It can be also seen that the company makes use of old methods such as spreadsheets for keeping the track of the data. There are other different issues as well that may appear from this issue such as data protection and data breach. In this assessment, we will find ways to get rid of the same.


Technology is considered as one of the general terms which assist us in this fast moving and continuously changing world. There are plenty of effects that make use of the effect of marketing as per the information systems and which can also enhance the performance of the sales. The company Fibre Fashion is known to There are several systems that include the collection, storage and analysis of reporting the data of marketing. The inventory in the business can be considered as one of the small issues for increasing concerns related to the existing management systems.

Background to The Issue

The company, Fibre Fashion is now constantly working for trading the landscape and is constantly being more demanding about the experiences which are considered for providing an exceptional service. The complexity of the supply chain network is also said to have include an increase of globalisation as it results in increasing the varieties of stock management challenges. The inefficient management of inventory is witnessed from the spreadsheets. The management of the inventory of a company can be considered as an important part of the business and without the presence of a proper system related management there can be various problems in the business. The problems related to these inefficiencies which are caused with the improper inventory management can be such as inaccurate quantities, inaccurate identification related from the items, inability of fulfilling order, overstocking or the lack of inventory (Kim & Kim, 2016).

There can be other problems as well that can be caused from the improper inventory management such as the improper usage generated from the spreadsheets can lead to a problem of inaccuracies for tracking inventory. Inventory management control is the system which requires proper planning and procedure for the development and the optimization of the costs. These are associated with the profits related to the organization for the possible investments having a condition which can act as providing best possible services to their customers.

It also requires a coordination for purchasing, manufacturing and distribution that is related to the meeting the demands of marketing (Anunciacao et al., 2018). The main problem that can be seen in this is that of clarification which can tells us the importance of reorder level of the products. The stock is seen to go out, but there are issues in the inventory and it basically informs us that there is as such no scope when there should be economic order quantity (Cachon et al., 2019). This simply means that there is as such no levels which can be maintained with the re-ordering of the stocks which are required to fill up the stock. The other related models which are described with balancing the costs of stock which can provide with the economic order quantity is missing.

Research Issue

The extensive aim of this research is to identify that what are the problems which are caused with the problems in inventory. The report also aims to calculate and evaluate the factors which are responsible for the problems generated in spreadsheet of Fibre Fashion. The core objectives of the research lies in stating and identifying which are as follows:

  • What is the level where the products are supposed to be re-ordered to fill in the stocks?

Literature Review

According to Zou (2019), inventory is the stock which makes use of the raw material, intermediates and various finished goods which contain the economic value of the same. There are various stored warehouses which can be used with the sale of future and which comprises of the trades covered as per the needs of holding stock related inventory in some of the different forms for future. In today’s high competitive business, inventory is said to play an important role and it assists the manager into making use of the inventories as per maximizing the revenue which is generated. Inventory control is considered as a system which requires the proper use of planning and procedure for associating the costs and profits which are achieved with the organizations having least possible investment conditions.

Lin (2019), inventory can also provide real-time information which can be determined from the status of inventory and which can also assist in the activities of the warehouse. According to a study conducted by Panigrahi (2013), the inventory management can support the activities in the maximization of the customer service which is related to achieving an accurate product at the right place and at the right time. The inventory management, if not appropriate can also affect the optimal stock level which can imply the order quantity for resulting it with a total amount and for carrying out management for reconciling them with respect to the economic order quantity (Zjim & Schutten, 2019).

The economic order quantity is known as the size of the order which represents the quality of material and which is also responsible for aggregating the costs of procuring inventory and costs related with holding and procuring the minimum costs. The determination of economic order quantity can act as one of the most common issues which can set the balance along with opposing costs which name the carrying costs of basic ideas that can be generated with the acquisition and procurement costs. Reorder level of stock can be considered as the reorder point or ordering point which acts as a business in the pre-set level of stock or inventory for placing the new orders to their suppliers which can be used for obtaining the delivery of raw materials or the finished goods.

The maintenance of the business for the creation of its raw materials or the finished goods is an example which can help in the management of inventory and also helps in the reordering level of stocks. This acts as a order which can be useful for sustaining the production of raw materials and continuity of sales in the finished goods (Sharma & Garg, 2016). The optimal level and control points can imply the order related quantity for it to result with the total amount of ordering the costs and carrying it out with the losses that are being covered for its minimization. Maintenance of stocks can act as one of the most important solutions for the reorder level of stocks, this can simply help in increasing the sales of the team.

According to a study conducted by Shin (2015), the inventory management and its study is related to keeping the stocks for encashing the assets that are available for the further investments. The operations and inventory management is considered as one of the most important goals which can help in achieving the activities of the organization. The direct influence which is created along with the efficiency of organization is said to have increased the capacity related production and its goods as per the business services. Wild (2017), mentioned that inventory management and planning of products are one of the issues which acts as economic sound theory and which can be accepted with personalizing approaches and predominance of numerical data. The calculations which are completed and indicates the spreadsheets can be used with determining the profitability of the products.

Sharma (2016), mentioned there are different costs which are associated with the association of strong and maintaining the inventory from a fixed period and which can help in the fixation of inventory costs. The inventory costs are known as the actual value that are said to have been paid from procuring the items and which can help in the inventory models for the development of costs that are associated for purchasing items related to item or costs for its manufacturing. The inventory costs of each and every physical inventory are evaluated with the help of starting inventory management. There are different kinds of costs which are involved in the inventory problems and they are mentioned as: purchase costs, capital cost, storage cost, deterioration cost, setup cost, holding cost, ordering cost, stock-out cost and total inventory cost.

The main objective which minimizes the strategy for describing the problems and its scope are related with the total cost of supply. The inventory management can be developed with the steps having changes and requirements of increasing competition in the inventory of management. The responsibilities which can be expanded along with the delivery of product customer is provided with optimized profits related to supply chain and inventory costs. The reflection of problem which are complicated comprises of operation having simplicity and concepts of inventory management for setting the operations and which can operate the calculated costs that are involved with the accuracy which is related with the problems of uncertainty in business.

A good inventory management system helps in the operation of system and also optimizes the increase related to the total turnover. The inventory which designs and defines the evaluation of sequence related cash flows can use the modification versions having an incorporation effects of inflation. According to a study conducted by Acen (2019), any of the inventory systems comprises of incomplete merging of complete chain which includes both, retailer and supplier. The integrated inventory models act as the basic pillar for any kind of the supply chain. The introduction of any kind of information system can also result in the increased efficiency and human errors. The primary goal for all of the companies result in improving the excellent information system and will also enable in the making of the business.

The information systems can help in making the business and comprising it as of the organized data as the acquisition of the great information systems helps and ensures that the business can help in making the decisions and problem solving of the issues as a faster issue. There are various advantages as well which make sure that the accessing of the gains resulting in improving the productivity can help in organization of the database.

Analysis of Literature

The analysis which can be gathered from the literature states that, the information systems can be defined as one of the important and essential set of components for the collection of the process which are related with sharing of the information and data (Planning, 2017). The increasing processes in business in information technology states that the technology solution is quite important and can be expressed for demonstrating the structure of business performance in the creation of the information systems. The other motives that can be gathered from the inventory management states that in order to maximize the customer service it is important to minimize the costs of operations and inventory.

Recommended Solution

There are several different issues which can be generated from the different organizations and which can be used and considered along with the availability of the products that are required. The target stock levels can act with the production prices for stock finishing of the goods that are provided to the customers with the high level of service. It can be also considered important to have a good balance with the needs of design and development of inventory management. The marketing activities are directed with the help of planning, promoting and selling of the goods which can help and provide satisfaction level to the needs of customers along with the objectives of organization.

The marketing information systems basically support and help in the markets regarding the mix of marketing and includes the processes such as product, price, place and promotion. The structure related with the information marketing is helpful for running of a successful business which can help in assisting quality related information systems for processing the data and statistics. The reasons which will assist in the investments of information systems are considered essential and they are as follows: organised data, information storage, creating a perspective on business future, avoiding crisis, analysing and planning, data control and easier decision making. The optimum stock is the key which is considered important for managing the key inventory successfully and helps in leading the business.

The detection of the correct re-order level is considered as extremely crucial and it also helps in incurring the extra costs which will increase the financial health of the business. There are certain other benefits as well which keeps the company’s finances as safe and which also reaps the inventory level for the automatic generation and replenishment order at a time which can help in comparison of re-ordering the inventory levels. In simple words, the company can make use of some different software which will make accepting the quantities as an easy task such as Tally ERP 9 (Singh & Verma, 2018). There are a lot of consumption patterns in this software such as patterns that can help in suggesting the re-order levels and which can help in defining some of the own reorder levels.


The usage of the proper inventory is the key to success in ay kind of business which requires production. Inventory management techniques can be considered with making sure that there are several right amounts of products that are being used at the right times. The reorder point can be known as the key of solving the issues with the mathematical methods of finding the ideal time for reordering of a product. The more the inventory, the more will be the finances and the more the profit. It is quite important for the companies to keep a stock with the products which eliminates the non-profits of the products. The sales performance is related to the costs of the products which are being indicative of its importance and must be carefully monitored with the negative effects and overall viability of the company. The businesses can make a lot of profit with the help of the revising and selecting the assistance as per the specific products and targets.


Acen, M. (2019). Accounting Information Systems and Firm Performance of Small and Medium Enterprises in Nakawa Division (Doctoral dissertation, Kyambogo).

Cachon, G. P., Gallino, S., & Olivares, M. (2019). Does adding inventory increase sales? Evidence of a scarcity effect in US automobile dealerships. Management Science, 65(4), 1469-1485.

da Anunciação, P. F., Martins, A., Bernardo, A., Costa, C. L., & Duarte, M. (2018). The Importance of Information in the Generation of Competitive Value.

Kim, B., & Kim, S. (2016). Inventory types and their effects on sales. International Journal of Inventory Research, 3(2), 115-133.

Koumanakos, D. P. (2008). The effect of inventory management on firm performance. International journal of productivity and performance management.

Lin, R. (2019). The Importance of Successful Inventory Management to Enterprises-A Case Study of Wal-Mart.

Ndlala, P., Mbohwa, C., & Sobiyi, K. (2017). The Application Inventory Control Systems in Warehouse.

Panigrahi, C. M. A. (2013). Relationship between inventory management and profitability: An empirical analysis of Indian cement companies. Asia Pacific Journal of Marketing & Management Review, 2(7).

Planning, S. (2017). Inventory Control. Lecture Notes in Economics and.

Sharma, M., & Garg, N. (2016). Inventory control and big data. In Optimal Inventory Control and Management Techniques (pp. 222-235). IGI Global.

Shin, S., Ennis, K. L., & Spurlin, W. P. (2015). Effect of inventory management efficiency on profitability: Current evidence from the US manufacturing industry. Journal of Economics and Economic Education Research, 16(1), 98.

Singh, D., & Verma, A. (2018). Inventory management in supply chain. Materials Today: Proceedings, 5(2), 3867-3872.

Wild, T. (2017). Best practice in inventory management. Routledge.

Zijm, H., & Schutten, M. (2019). Advanced Production Planning and Scheduling Systems. In Operations, Logistics and Supply Chain Management (pp. 417-439). Springer, Cham.

Zou, J. (2019). Research Report on Inventory Management of the Reserve Grain Management Corporation. Modern Economy, 10(03), 844.

Remember, at the center of any academic work, lies clarity and evidence. Should you need further assistance, do look up to our Business Information Systems Assignment Help

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