Topic > Inventory Control System at Miller-Coors - 776

Inventory control is a big problem for many companies, and Miller-Coors is no exception. The need to keep track of four different tasks is often overwhelming. Miiler-Coors tracks its inventory for characteristics, inventory activity, product recalls and traceability. Because of the many different brands of beer produced and each brand uniquely produced, inventory by characteristics is the inventory style of choice for Miller-Coors. To help with forecasting activities they are also inventoried. Beer is not produced on an assembly line and it takes time for the beer to go through the many stages needed for a finished product. The quantity at each stage must be inventoried. Just like any other product, beer can go bad, to find the problem you need to be able to trace the beer through the system to find the problem. The first step in brewing beer is to select the correct grain, the grain of choice is barley. Miller-Coors has contracts with more than 800 framers and supplies grain to 75 percent of them. 800 different framers trying to produce the same quality is practically impossible. To have better quality control, Miller-Coors should acquire as many farmers as possible and grow their own barley. Miller-Coors buys barley from farmers in four states: Idaho, Colorado, Wyoming and Montana, but North Dakota is a better choice because 90 percent of the state is farmland that's about 39 million acres. Instead of contracting with the framer, Miller-Coors should sublet the land and open its own framing division in North Dakota. Farmers could be hired by Miller-Coors to tend the farms, but overall control of the land would rest with Miller-Coors while it is leased. The average price for renting land in North Dakota is $50.00, but due to extensive... middle of paper...... staff awareness training. Consulting firm rates vary from company to company, but the average cost is $140.00 per hour. The fee is very small compared to fines for non-compliance. Inventory and emissions control are issues that have had major effects on Miller-Coors. Many millions of dollars have been spent to provide farmers with the tolls needed to produce the highest quality barley and irrigation systems. This money would be better spent on financing their agricultural activities. The ownership will give Miller-Coors total control of the grain used in production. The biggest problem Miller-Coors is facing is emissions control. With a score of 2.8 out of 5, the Miller-Coors SAM score fell behind industry standards. To be known as an industry leader, Miller-Coors must be a leader in every aspect of the world.