Point of supply use distribution process and apparatus

Claim 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.

Claim 2

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.

Claim 7

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.

Claim 8

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.

Claim 12

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.

Claim 13

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.