The production engineer schedules the stages of production. The movement of parts on the factory floor and the exact time they are needed is calculated. The assembly-line process is based on precise timing, and a constant flow of information about the location of parts is needed to avoid traffic jams. This is now handled by computers, which monitor information and adjust the flow of parts accordingly. The management of inventory is another essential to lower costs.
Inventory is the store of raw materials, parts, and finished products on hand.
Inventory control is concerned with keeping these stores as small as possible so that they do not remain unused, and therefore unprofitable, for long periods of time.