Which one of the following is NOT a technique of inventory control?

ABC analysis(Always Better Control)

Inventory items are classified based on their annual usage value in monetary terms.

Class A - item: 10 % of the item accounts 75% costs.

Class B - item: 20% of the item accounts 15% costs.

Class C - item: 70% of the item accounts 10% costs.

VED Analysis (Vital, Essential, Desirable)

Inventory items are classified on the basis of their criticality i.e. according to the cost of incurring a stock out

V-Vital: Without which the production process would come to standstill

E-Essential: Their non-availability will adversely affect the efficiency of the production system. It should be given second priority.

D-Desirable: Without which the process is unaffected but is good if they are available for better efficiency.

      GOLF stands for,

      G → government

      O → Ordinary

      L → Local

      F → foreign

SDE Analysis (Scarce, Difficult, Easily Available)

This type of analysis is useful in the study of those items which are scarce in availability

S-Scarce: Imported items which are generally in short supply

D-Difficult: These are available in market but not always traceable or immediately supplied

E-Easily: Easily available in the market

HML Analysis (High, Medium, Low Cost)

This type of analysis is similar to ABC analysis, except that cost per item is taken.

H-Highest: Items whose unit cost is very high, or maximum are given top priority

M-Medium: Items whose unit cost is of medium value

L-Low: Items whose unit cost is low

FSND Analysis (Fast, Slow, Non-moving, Dead items)

Inventory items are classified in the descending order of their usage (Consumption rate/ movement value).

F-Fast moving items: That are consumed in short span of time

N-Normal moving items: That are consumed over a period of one year

S-Slow moving items: These items are not frequently issued and consumed over a period of two years or more.

D-Dead items: Consumption of such items are almost nil. It can also be taken as obsolete items