Inventory management system and method

• US 6,341,271 B1
• Filed: 11/13/1998
• Issued: 01/22/2002
• Est. Priority Date: 11/13/1998
• Status: Expired due to Fees

• Current Assignee: Sabic Innovative Plastics IP BV (Government of Saudi Arabia)
• Original Assignee: General Electric Company
• Inventors: Mackenzie, Patricia Denise, Morelli, Thomas Anthony II, Relyea, Heather Ann, Salvo, Joseph James, Bennett, Janet Sue
• Primary Examiner(s): Millin, Vincent
• Assistant Examiner(s): AKERS, GEOFFREY R
• Application Number:
  US09/191,910
• Time in Patent Office: 1,166 Days
• Field of Search: 705/28, 705/8
• 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: Y02P 90/02 Total factory control, e.g. smart factories, flexible manufacturing systems [FMS] or integrated manufacturing systems [IMS]

Abstract

An inventory management system automatically monitors inventory amounts, provides information concerning inventory, and decides if an order for replacement inventory should be placed. The system includes a storage for inventory, an indicator for monitoring and reporting the level of current inventory, and a controller for receiving information from different inventory suppliers and for integrating such information with information on current inventory amounts and estimated future use to decide if an order for replacing inventory should be made. An order is placed automatically to a supplier and the progress for the delivery of replacement inventory is automatically monitored. A method using this system for managing inventory includes the steps of automatic gathering information about the current inventory and deciding whether and when replacement inventory should be ordered.

Claims

1. A network-based inventory management system that automatically provides information concerning inventory amounts and decides replacement inventory ordering, the system comprising a network-based machine-initiated and executed system comprising:

at least one storage receptacle that stores inventory;

at least one indicator that automatically determines an inventory amount in each receptacle, each indicator generating inventory amount signals representative of the inventory amount in the receptacle;

at least one inventory price source that provides inventory price information from at least one inventory vendor; and

a control unit that receives the inventory amount signals from the indicator and inventory price information from the inventory price source,

wherein the control unit automatically analyzes the inventory amount signals to determine inventory amounts in the receptacle, the control unit is capable of automatically integrating the inventory amounts and inventory price information to decide if an inventory order should be placed; and

wherein the indicator, the inventory price source, and the control unit communicate with each other within a network.

2. A system according to claim 1, wherein the control unit comprises a computer.

3. A system according to claim 2, wherein the computer is capable of performing automatic data acquisition, data mining, and data analysis and the network is a computer-based network.

4. A system according to claim 1, wherein the at least one inventory price source provides inventory price information from a plurality of vendors, and the control unit is capable of determining a lowest total inventory purchase price from inventory prices of each inventory vendor and is capable of deciding if an inventory order should be placed based on the lowest total purchase price information.

5. A system according to claim 4, wherein total inventory purchase price comprises inventory price, and at least one of tariffs, taxes, and costs of transporting inventory from each respective vendor to a manufacturing site.

6. A system according to claim 1, wherein the control unit is capable of determining historical inventory price information, is capable of determining real-time inventory price information, is capable of estimating future inventory price information from the inventory price source, and is capable of analyzing at least one of the historical inventory price information, real-time inventory price information, and estimated future inventory price information to determine if an inventory order should be placed.

7. A system according to claim 1, wherein the inventory management system provides analyzed inventory information in a format accessible by at least one of a manufacturing site and inventory vendor to determine a schedule for replacement inventory.

8. A system according to claim 7, where the inventory information format comprises analyzed information that includes at least one of inventory quantity;

inventory weight amounts;

inventory readings as a function of time;

inventory use;

last reading information;

inventory lot number information;

receptacle volume information;

receptacle volume percent information;

low-amount notification information; and

inventory shipment information.

9. A system according to claim 7, wherein the analyzed inventory information comprises real-time inventory information, estimated future inventory information, and historical inventory information.

10. A system according to claim 7, wherein the analyzed inventory information is accessible over the Internet, and the analyzed inventory information is capable of being communicated to an inventory vendor and manufacturing site by at least one of facsimile, Internet messages, pagers, regular mail, e-mail, voice mail, and telephone call.

11. A system according to claim 1, wherein the indicator comprises at least one of an ultrasonic amount detector, an ultrasound amount detector, an optical sensor amount indicator, a laser amount detector, a nuclear amount detector, and a load cell detector amount indicator, and combinations thereof.

12. A system according to claim 1, wherein the storage receptacle comprises at least one of a silo, storage bin, bag, warehouse, on-site transport vehicle, and hopper, and combinations thereof.

13. A system according to claim 1, further comprising a site controller, wherein the site controller is capable of receiving signals from each indicator and the site controller is capable of communicating the signals to the control unit.

14. A system according to claim 13, wherein the site controller comprises a solid state signal processor.

15. A system according to claim 1, further comprising at least one processor connected to a storage receptacle, the processor capable of forming a processed article from the inventory, and the control unit is capable of determining an inventory amount used by the processor.

16. A system according to claim 15, wherein the indicator is capable of providing inventory amounts in the receptacle over time, the control unit is capable of determining an inventory amount used in the processor by determining a difference in inventory amounts in the receptacle at two different times, is capable of determining estimated future inventory used based on the amount of inventory used by the processor, and is capable of determining if an inventory order should be placed based on estimated future inventory use.

17. A system according to claim 16, wherein the at least one inventory price source is capable of providing inventory price information from a plurality of inventory vendors, the control unit is capable of determining a lowest total inventory purchase price based on inventory prices of each inventory vendor and estimated future inventory use and is capable of determining if an inventory order should be placed based on the estimated future inventory use and the determination of lowest total purchase price information for each inventory vendor.

18. A system according to claim 1, further comprising at least one product information source that is capable of providing product pricing information concerning processed articles formed from the inventory, wherein the control unit is capable of determining estimated future production based on product pricing information, and is capable of determining if an inventory order should be placed based on the estimated future inventory use and estimated future inventory needs based on estimated future production.

19. A system according to claim 1, further comprising a shipping information source that comprises at least one of available transportation type information from an inventory vendor to a manufacturing site and transportation cost information, the shipping information source accessible by the control unit to provide the control unit with transportation type information for determining if an inventory order should be placed based on the estimated future inventory use and information from the shipping information source.

20. A system according to claim 1, further comprising transportation advisory source that provides transportation information, the transportation information comprises at least one of road condition information, rail condition information, water condition information, existing and possible delay information, construction along possible inventory order information, and weather information, the control unit is capable of determining the transportation information from the transportation advisory source, is capable of analyzing the transportation type information, and is capable of determining potential delays and an inventory shipment route that provides an expedited inventory order.

21. A system according to claim 20, the system further comprising a global positioning system that is capable of determining a location of inventory orders, and a communication link from the control unit to the inventory order, wherein the control unit is capable of accessing the global positioning system to determine a real-time location of the inventory order and where the control unit is capable of communicating with the inventory order to inform the inventory order of potential delays.

22. A system according to claim 1, further comprising a global positioning system that is capable of providing the control unit a location of inventory orders.

23. A system according to claim 1, further comprising a service center in communication with the control unit, the service center analyzing inventory amount signals and analyzed information, and the service center capable of performing statistical analysis of the inventory amount signals and analyzed information.

24. A system according to claim 23, the service center generates alerts in response to predetermined conditions, the predetermined conditions comprising shortages in inventory, inventory prices, and changes in economic indicators, wherein the alerts are sent to at least one of the manufacturing site and inventory vendor.

25. A system according to claim 1, the control unit generates alerts in response to at least one of predetermined conditions and analyzed information, the predetermined conditions comprise shortages in inventory, inventory prices, and changes in economic indicators, wherein the alerts are automatically sent by the control unit to at least one of the manufacturing site and inventory vendor.

26. A system according to claim 1, wherein the control unit identifies inventory by vendor.

27. A network-based inventory management method for providing information concerning inventory amounts and inventory ordering to at least one of a manufacturing site and an inventory vendor, the method comprising automatic steps that are machine-initiated and executed, the automatic steps comprising:

determining an inventory amount in each receptacle;

generating signals representative of inventory amounts;

providing inventory price information from at least one inventory source;

receiving inventory amount signals;

receiving inventory price information from the inventory price source;

analyzing inventory amount signals to determine inventory amounts in the receptacle and inventory price information;

integrating the inventory amounts and the inventory price information to decide if an inventory order should be placed; and

providing information concerning an inventory order in accessible form to at least one of a manufacturing site and an inventory vendor;

wherein the automatic steps of determining, generating, providing, receiving, and integrating are performed by apparatuses that communicate with each other within a network.

28. A method according to claim 27, wherein the steps of receiving, analyzing, determining inventory amounts, and determining inventory orders is controlled by a computer.

29. A method according to claim 28, wherein the computer is capable of automatic data acquisition, data mining, and data analysis and wherein the network is a computer-based network.

30. A method according to claim 27, the method further comprises steps of automatically providing inventory price information for plurality of vendors, determining a lowest total inventory purchase price from inventory prices of each vendor, and deciding if an inventory order should be placed based on the determination of lowest total purchase price information.

31. A method according to claim 30, wherein the step of determining total inventory purchase price comprises determining a price of inventory and determining at least one of tariffs, taxes, and costs of transporting inventory from the vendor to the manufacturing site.

32. A method according to claim 27, the method further comprising steps of determining at least one of historical inventory price information, determining real-time inventory price information, and estimating future inventory price information, the method further comprises analyzing at least one of the historical inventory price information, real-time inventory price information, and estimated future inventory price information to determine if an inventory order should be placed.

33. A method according to claim 27, further comprising identifying inventory by vendor.

34. A method system according to claim 27, where the inventory information comprises at least one of real-time inventory information, estimated future inventory information, and inventory historical information.

35. A method according to claim 33, wherein the method further comprises:

accessing the analyzed information over the Internet;

and communicating the information to a vendor and manufacturing site by at least one of facsimile, Internet messages, pagers, regular mail, e-mail, voice mail, and telephone call.

36. A method according to claim 27, wherein the method further comprises determining inventory amount using at least one of an ultrasonic amount indicator, an ultrasound amount indicator, an optical sensor amount indicator, a laser amount indicator, a nuclear amount indicator, and a load cell detector amount indicator, and combinations thereof.

37. A method according to claim 27, further comprising employing a site controller that receives signals from each amount indicator, wherein the site controller communicates with other apparatuses within the network.

38. A method according to claim 27, wherein the method further comprises:

withdrawing inventory from the receptacle;

forming an article from the withdrawn inventory;

determining a difference in inventory amounts in the receptacle before and after said withdrawing, thereby determining an amount of inventory used by the processor;

determining an estimated future inventory use based on the amount of inventory used by the processor; and

determining if an inventory order should be placed based on the estimated future inventory use.

39. A method according to claim 27, wherein the method further comprises:

determining a lowest total inventory purchase price from inventory prices of each vendor and estimated future inventory use; and

determining if an inventory order should be placed based on the estimated future inventory use and the lowest total purchase price information for each vendor.

40. A method according to claim 27, wherein the method further comprises:

providing product pricing information concerning products formed from the inventory;

determining estimated future production based on product pricing information; and

determining if an inventory order should be placed based on the estimated future inventory use and estimated future inventory needs based on estimated future production.

41. A method according to claim 27, wherein the method further comprises:

providing information concerning available types of transportation from a vendor to a manufacturing site and information concerning costs of transportation; and

determining if an inventory order should be placed based on the estimated future inventory use and total inventory purchase price considering information from the shipping information source.

42. A method according to claim 27, wherein the method further comprises:

providing at least one of road condition information, rail condition information, water condition information, existing and possible delay information, construction along possible inventory order information, and weather information; and

determining an inventory shipment route that provides expedited inventory order.

43. A method according to claim 42, wherein the method further comprises:

providing location of inventory orders; and

determining a real-time location of the inventory order, and communicating possible potential delays to the inventory order.

44. A method according to claim 27, wherein the method further comprises analyzing inventory amount signals and information and performing statistical analysis of the inventory amount signals and information.

45. A method according to claim 27, wherein the method further comprises:

generating alerts in response to predetermined conditions, the predetermined conditions comprising shortages in inventory, low inventory prices, and changes in economic indicators; and

sending the alerts to at least one of the manufacturing site and vendor.

46. A network-based inventory management system for automatically providing information concerning inventory amounts and inventory ordering to at least one of manufacturing site and an inventory vendor, the system comprising a network-based machine-initiated and executed system comprising:

means for storing inventory;

means for determining an inventory amount in each means for storing inventory, the means for determining an inventory amount generating inventory amount signals representative of inventory amounts in the means for storing inventory;

means for providing inventory price information; and

means for receiving the inventory amount signals from the means for determining an inventory amount and inventory price information from the means for providing inventory price information,

wherein the means for receiving the inventory amount signals analyzes the inventory amount signals to determine inventory amounts in the means for storing inventory, the means for receiving the inventory amount signals analyzes the inventory amounts and inventory price information and the means for receiving the inventory amount signals determines if an inventory order should be placed, and

wherein means for storing, means for determining, means for providing, and means for receiving communicate with each other within a network.

47. A system according to claim 46, wherein the means for receiving the inventory amount signals comprises a computer.

48. A system according to claim 47, wherein the computer comprises at least one of data acquisition means, data mining means, and data analysis means.

49. A system according to claim 46, wherein the means for providing inventory price information provides inventory price information from a plurality of vendors, the wherein the means for receiving the inventory amount signals determines a lowest total inventory purchase price from inventory prices of each vendor and the means for receiving the inventory amount signals determines if an inventory order should be placed based on the determination of lowest total purchase price information.

50. A system according to claim 49, wherein total inventory purchase price comprises a price of inventory, and at least one of tariffs, taxes, and costs of transporting inventory from a vendor to the manufacturing site.

51. A system according to claim 46, wherein the means for receiving the inventory amount signals determines at least one of historical inventory price information, real-time inventory price information, and estimated future inventory price information, and the means for receiving the inventory amount signals considers at least one of historical inventory price information, real-time inventory price information, and estimated future inventory price information to determine if an inventory order should be placed.

52. A system according to claim 46, wherein the inventory management system provides analyzed inventory information format accessible by at least one of a manufacturing site and inventory vendor to determine a schedule for replacing the inventory.

53. A system according to claim 52, where the inventory information format comprises analyzed information comprising at least one of inventory quantity;

inventory weight amounts;

inventory readings as a function of time;

inventory use;

last reading information;

inventory lot number information;

means for storing inventory volume information;

means for storing inventory volume percent information;

low-amount notification information; and

inventory shipment information.

54. A system according to claim 52, where the analyzed inventory information comprises at least one of real-time inventory information, estimated future inventory information, and historical inventory information.

55. A system according to claim 52, wherein the analyzed inventory information is accessible over the Internet, and is communicated to a vendor and manufacturing site by at least one of facsimile, Internet messages, pagers, regular mail, e-mail, voice mail, and telephone call.

56. A system according to claim 46, wherein the means for determining an inventory amount in each receptacle means comprises at least one of an ultrasonic amount detector, an ultrasound amount detector, an optical sensor amount indicator, a laser amount detector, a nuclear amount detector, and a load cell detector amount indicator, and combinations thereof.

57. A system according to claim 46, wherein the means for storing inventory comprises at least one of a silo, storage bin, bag, warehouse, on-site transport vehicle, and hopper, and combinations thereof.

58. A system according to claim 46, further comprising site controller means for receiving signals from each amount indicator, the site controller means communicating the signals to the means for receiving the inventory amount signals.

59. A system according to claim 58, wherein the site controller means comprises solid state signal processing means.

60. A system according to claim 46, further comprising means for forming a processed article from inventory connected to the means for storing inventory.

61. A system according to claim 60, wherein the means for determining an inventory amount provides inventory amounts in the means for storing inventory over time, the means for receiving the inventory amount signals determines an inventory amount used by the means for forming a processed article by determining a difference in inventory amounts in the means for storing inventory over time, the means for receiving the inventory amount signals determines estimated future inventory use based on the amount of inventory used by the means for forming a processed article, and the means for receiving the inventory amount signals determines if an inventory order should be placed based on the estimated future inventory use.

62. A system according to claim 61, wherein the means for providing inventory price information provides inventory price information from a plurality of vendors, the means for receiving the inventory amount signals determines a lowest total inventory purchase price based on inventory prices of each vendor and estimated future inventory use, and the means for receiving the inventory amount signals determines if an inventory order should be placed based on the estimated future inventory use and the determination of lowest total purchase price information for each vendor.

63. A system according to claim 46, further comprising product information source means for providing product pricing information concerning processed articles formed from the inventory, wherein the means for receiving the inventory amount signals determines estimated future production based on product pricing information, and the means for receiving the inventory amount signals determines if an inventory order should be placed based on the estimated future inventory use and future inventory needs based on estimated future production.

64. A system according to claim 46, further comprising shipping information source means for providing at least one of available transportation type information from a vendor to a manufacturing site and transportation cost information, the shipping information source accessible by the means for receiving the inventory amount signals to provide the means for receiving the inventory amount signals with transportation type information for determining if an inventory order should be placed based on the estimated future inventory use and information from the shipping information source.

65. A system according to claim 46, further comprising transportation advisory source means for providing at least one of road condition information, rail condition information, water condition information, existing and possible delay information, construction along possible inventory order information, and weather information, the means for receiving the inventory amount signals accessing information from the transportation advisory source means, analyzing the transportation type information and determining an inventory shipment route that provides expedited inventory order.

66. A system according to claim 65, further comprising global positioning means for providing location of inventory orders, and communication link means from the means for receiving the inventory amount signals to the inventory order, and the means for receiving the inventory amount signals accessing the global positioning means to determine a real-time location of the inventory order, and the means for receiving the inventory amount signals communicating with the inventory order to inform the inventory order of possible delays.

67. A system according to claim 46, further comprising global positioning means capable of providing the means for receiving the inventory amount signals to a location of inventory orders.

68. A system according to claim 46, further comprising a service center in communication with the means for receiving the inventory amount signals, the service center analyzing inventory amount signals and analyzed information and the service center performing statistical analysis of the inventory amount signals and information.

69. A system according to claim 68, wherein the service center generates alerts in response to predetermined conditions, the predetermined conditions comprise shortages in inventory, low inventory prices, and changes in economic indicators;

the alerts are sent to at least one of the manufacturing site and vendor.

70. A system according to claim 46, wherein the means for receiving the inventory amount signals generates alerts in response to at least one of predetermined conditions and analyzed information, the predetermined conditions comprise shortages in inventory, low inventory prices, and changes in economic indicators;

the alerts are automatically sent by the means for receiving the inventory amount signals to at least one of the manufacturing site and vendor.

71. A system according to claim 46, wherein the means for receiving the inventory amount signals identifies inventory by vendor.