The warehousing and handling of inventory is perennially at the top of every manufacturer's list of things to improve. After all, the issue of too much or too little inventory drives every facet of concern to the industry, be it customer service or supply chain management.

For many manufacturers, the traditional view of inventory tracking has remained unchanged. In other words, inventory is viewed financially as an asset. But an article featured in this issue (page 34) disputes this "pillar" of manufacturing management accounting. Robert A. Stahl, CPIM, contends that the advanced methodologies available to manufacturers should not be used to automate inventory tracking in the same manner that has traditionally been used, but rather eliminate it. Stahl calls for a fundamental shift to take place in the industry's traditional way of thinking about inventory to effectively benefit from what the new technologies have to offer.

Juxtaposed to the issue of inventory as asset or expense are the strategies that underlie the purchase of materials used to create a product.

Speaking of new ways of thinking about a process, the theory of constraints' effect on empowerment and manufacturing management is presented in two articles in this issue. In the first article, Dr. Eliyahu Goldratt, author of the "The Goal" and "It's Not Luck," explains in his engaging story-telling manner how the effective empowerment of management's lieutenants not only corrects misalignments between responsibility and authority, but benefits a company's goal of achieving better customer service. Thomas McMullen's article on a TOC management system for manufacturers details how to invent new self-documenting best practices for your operation through the adoption of TOC principles and processes.

Debuting in this issue is APICS -- The Performance Advantage's first forecasting software survey. More than 30 software packages are profiled in a cross-referenceable chart delineating a number of features important to forecasting software purchasers.

As a companion to the survey is an article by John Barry discussing the basics of forecasting for manufacturers. Barry offers seven pearls of forecasting wisdom to help manufacturers achieve increased sales, customer service satisfaction, inventory turns and on-time deliveries, as well as reduce scrap and reject material.

Barry's article is a prime example of the basics-type article APICS --The Performance Advantage is seeking to bring to its readers. Just as the APICS Society is seeking to bolster its members' grounding in the basics with its successful Basics of Supply Chain Management Workshop, so is the magazine doing its part to support this effort. A regularly appearing example of our commitment to providing more "basics" coverage can be found in Steven Melnyk's and R.T. Christensen's column "Back to Basics" (page 66).

And remember, don't hesitate to voice your opinions about articles appearing in APICS--The Performance Advantage. As evidenced by the letter and response appearing in this space in the March issue, issues brought up by a vigilant reader can often help clarify the subject for all interested parties. So keep those letters and e-mails coming.

-- David Greenfield, editor

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