Inventory Cost and Management

172 views 9:14 am 0 Comments June 5, 2023

High-Speed Testers (HST) is a company that specializes in manufacturing semiconductor test machines. The company’s inventory is characterized as being a high mix, low volume environment. That means, it keeps many different parts but all in small quantities. Fewer than 15% of the parts between the two variants can be combined and ordered from the same suppliers.Special Needs Assistance

HST currently produces two basic variants of testers out of two production sites. One variant, the 9 Series is created in the US, and the 6 Series in Europe. It stores its raw materials, work-in-progress, and finished goods inventory alongside these two production facilities.

Since 2015, HST has faced various inventory management issues that affected the company’s financial performance.

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