an inventory problem at AbdulLatif Jameel
This research project is to solve an inventory problem at AbdulLatif Jameel Company (Toyota Company in Saudi Arabia) in the parts department. In short, the main problem addressed in this project is a back order problem which occurs due to unexpected shortages in the warehouse. For instance, a customer is looking for a specific part which is not available at the time; the system will record a back order for this customer. Back order in Toyota system means, the company places orders to get parts for an existing customer demand. Currently, the monthly average demand is calculated at the beginning of each month. However, during the month the warehouses run out of some parts. Then, the part department checks with the other branches in different cities to order it. In case if they did not find it in all the domestic branches, they directly contact with the supplier in Japan to place a new order. Obviously, during the previous steps looking for these parts, the number of back orders may increase. Subsequently, the need to generate warning list reports, which will draw attention to (Expected Shortage / Nil parts / Back Orders) in order to take actions before the occurrence of shortage, will increase too. The scope of this project will involve creating preliminary flow chart for the suggested system, discussing the possibility of applying specific changes with the IT department, collecting data for daily short stock, analyzing data to find the reasons behind stock shortage and applying and testing the changes which have done by IT department.
solve this problem from three perspectives

1- Supply chain

2-Organization change and development

3- Lean production
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