Point of supply use distribution process and apparatus

• US 5,537,313 A
• Filed: 11/22/1993
• Issued: 07/16/1996
• Est. Priority Date: 11/22/1993
• Status: Expired due to Fees

• Current Assignee: McKesson Information Solutions LLC (McKesson Corp.)
• Original Assignee: Enterprise Systems, Inc. (Delaware) (McKesson Corp.)
• Inventors: Pirelli, Thomas
• Primary Examiner(s): Hayes, Gail O.
• Assistant Examiner(s): Tkacs, Stephen R.
• Application Number:
  US08/155,175
• Time in Patent Office: 967 Days
• Field of Search: 235/376, 235/385, 340/568, 364/401, 364/403, 364/404
• US Class Current: 705/28
• CPC Class Codes: G06Q 10/087 Inventory or stock management, e.g. order filling, procurement or balancing against orders
• CPC Class Codes: G06Q 20/341 Active cards, i.e. cards including their own processing means, e.g. including an IC or chip
• CPC Class Codes: G06Q 20/40145 Biometric identity checks
• CPC Class Codes: G06Q 30/0202 Market predictions or forecasting for commercial activities
• CPC Class Codes: G07F 7/1008 Active credit-cards provided with means to personalise their use, e.g. with PIN-introduction/comparison system

Abstract

A method using a central computer and a work station for managing inventory. To dispense inventory to consumers, a system user is issued a card imprinted with a personal user bar code. This user bar code is read into the computer and subsequently verified through the entry of individual user access data to ensure the user is authorized. To issue an item to a consumer, the user must next identify through an input means the particular consumer to whom the item is to be issued. The item to be issued is imprinted with an item bar code. After identifying the consumer, the item bar code is read into the work station and converted to issued-item data. The issued-item data is communicated from the work station to the central computer, where the issued item is decremented from inventory data. The central computer then determines whether each issued item is chargeable to the particular consumer. If the issued-item data is determined to be chargeable to the particular consumer, then the issued-item data is recorded as a charge to that consumer. Finally, the central computer determines when and in what quantity to replenish each item from the inventory data. A replenishment order is processed by the central computer, and the replenishment order is transmitted to a vendor.

Claims

1. A method using a central computer and at least one work station for tracking inventory of a plurality of items, comprising the steps, using said central computer and said work station, of:

a. defining, by a user, a maximum days inventory value, a safety stock days value and a review time days value for an item;

b. inputting to said central computer, by a user, the maximum days inventory value, the safety stock days value and the review time days value;

c. calculating, by said central computer, an average daily usage value, a lead time days value, an on-hand quantity, and an open order quantity for the item;

d. adding, by said central computer, the safety stock days value, the review time days value, and the lead time days value to generate a first sum;

e. multiplying, by said central computer, the first sum and the average daily usage value to generate a quantity representing a Dynamic Order Point for the item;

f. comparing the Dynamic Order Point to the on-hand quantity;

g. identifying a particular consumer at said work station;

h. inputting, at said workstation, item identification information for each item issued to the particular consumer as issued-item data;

i. communicating the issued-item data from said work station to said central computer;

j. decrementing, in said central computer, the issued item from the on-hand quantity;

k. comparing the Dynamic Order Point to the on-hand quantity;

l. adding, by said central computer, responsive to the Dynamic Order Point being at least equal to the on-hand quantity, the maximum days inventory value and the lead time days value to generate a second sum;

m. multiplying, by said central computer, the second sum and the average daily usage value to generate a product;

n. adding, by said central computer, the on-hand quantity and the open order quantity to generate a third sum;

o. subtracting, by said central computer, the third sum from the product to generate a quantity representing a Dynamic Order Quantity for the item;

p. generating a replenishment order for purchasing the Dynamic Order Quantity of the item;

q. transmitting the replenishment order to a vendor; and

r. incrementing the open order quantity by the Dynamic Order Quantity.

2. The method as set forth in claim 1 wherein the step of (h) inputting item identification information for each item issued, includes the steps of:

scanning an item bar code; and

inputting a quantity, using voice input means, of each item issued.

3. The method as set forth in claim 1 wherein the step of (h) inputting item identification information for each item issued, includes the step of:

inputting item identification information and a quantity, using voice input means, for each item issued.

4. The method as set forth in claim 1 wherein the step of identifying the particular consumer includes the step of:

applying appropriate pressure to a touch-sensitive screen to identify the particular consumer.

5. The method as set forth in claim 1 wherein the step of identifying the particular consumer includes the steps of:

inputting a consumer bar code; and

reading at said work station the consumer bar code.

6. A method using a central computer and a work station for tracking inventory of an item by calculating a Dynamic Order Point and a Dynamic Order Quantity for the item, comprising the steps, using said central computer and said work station, of:

a. defining, by a user, a maximum days inventory value, a safety stock days value and a review time days value for the item;

b. inputting to said central computer, by a user, the maximum days inventory value, the safety stock days value and the review time days value;

c. calculating, by said central computer, an average daily usage value, a lead time days value, an on-hand quantity, and an open order quantity for the item;

d. adding, by said central computer, the safety stock days value, the review time days value, and the lead time days value to generate a first sum;

e. multiplying, by said central computer, the first sum and the average daily usage value to generate a quantity representing the Dynamic Order Point for the item;

f. reading at said work station an item bar code for each item issued to a particular consumer as issued-item data, by a particular user identified through the work station by a particular user bar code and particular user access information of the particular user, for each item dispensed to the particular consumer identified through said work station by an input means;

g. communicating the issued-item data from said work station to said central computer;

h. decrementing, in said central computer, the issued item from the on-hand quantity;

i. comparing the Dynamic Order Point to the on-hand quantity;

j. adding, by said central computer, responsive to the Dynamic Order Point being greater than the on-hand quantity, the maximum days inventory value and the lead time days value to generate a second sum;

k. multiplying, by said central computer, the second sum and the average daily usage value to generate a product;

l. adding, by said central computer, the on-hand quantity and the open order quantity to generate a third sum;

m. subtracting, by said central computer, the third sum from the product to generate the Dynamic Order Quantity for the item;

n. generating a purchase order for purchasing the Dynamic Order Quantity of the item; and

o. transmitting the purchase order to a vendor for replenishment of the item.

7. The method as set forth in claim 6 wherein the input means comprises a touch-sensitive screen.

8. The method as set forth in claim 6 wherein the input means comprises a particular consumer bar code.

9. The method as set forth in claim 6 further comprising the steps of:

repeating steps (a) through (o) for a second item type.

10. A method, using a computer, for monitoring an inventory of an item at a location, comprising the steps of:

defining, by a user, a maximum days inventory value, a safety stock days value and a review time days value for the item;

inputting to the computer, by a user, the maximum days inventory value, the safety stock days value and the review time days value;

calculating by the computer, an average daily usage value, a lead time days value, an on-hand quantity, and an open order quantity for the item;

adding, by the computer, the safety stock days value, the review time days value, and the lead time days value to generate a first sum;

multiplying;

by the computer, the first sum and the average daily usage value to generate a quantity representing a Dynamic Order Point for the item;

comparing the Dynamic Order Point to the on-hand quantity;

calculating, responsive to the Dynamic Order Point being at least equal to the on-hand quantity, a quantity representing a Dynamic Order Quantity for the item;

generating a replenishment order for purchasing the Dynamic Order Quantity of the item;

transmitting the replenishment order to a vendor.

11. The method as set forth in claim 10, the step of calculating a quantity representing a Dynamic Order Quantity further comprising the steps of:

adding, by the computer, the maximum days inventory value and the lead time days value to generate a second sum;

multiplying, by the computer, the second sum and the average daily usage value to generate a product;

adding, by the computer, the on-hand quantity and the open order quantity to generate a third sum; and

subtracting, by the computer, the third sum from the product to generate the Dynamic Order Quantity for the item.