My QRB 501 (Quanitative Reasoning for Business) MBA class portfolio highlights an executive management presentation with speaker notes for Best Buy’s inventory system. For this presentation, I worked with a learning team to describe Best Buy’s current inventory system (Vendor Managed Inventory) that uses an electronic ordering system (Electronic Data Interchange). Historical inventory raw data was used to analyze the company’s inventory figures from the generation of the following: frequency distribution, normal distribution, measures of central tendency (mean, mode, and median), and dispersion analysis (range and standard deviation).
The learning team collectively decided on Best Buy due to its issue of technological obsolesce from constant technological developments. To combat the issue, Best Buy decided to implement an inventory solution called the Buy Back Program that allows customers to “future-proof” the technology of the products that they purchased, as long as the product components are intact and in good working condition for the company to resell through outlet stores, used for parts and refurbished for sale at service centers, and recycled through recycling companies that meet environmental standards. The learning team understood that maintaining sufficient inventory levels as well as the proper inventory mix is a constant dilemma for many organizations, including Best Buy.
Here is the Best Buy Executive Management Presentation in its entirety…enjoy! Let me know what you think.