important role in the success of the organizations in the new business environment. It is not clearly possible for the organizations that store hundreds of inventory items to economically design an inventory management policy for each inventory item separately. To have an efficient control of a huge amount of inventory items, traditional approach is to classify the inventory into different groups. Different inventory control policies can then applied to different groups. The wellknown ABC classification is simple to understand and easy to use. Moreover, various inventory items may play quite different roles in the business of the organization. Hence, the managers need to classify these items in order to control each inventory category properly based on its importance rating. In this thesis we consider a model of college hostel mess stores items (grocery and vegetables) for inventory management through ABC analysis. This research is composed of the following sections: In the first section, the criteria affecting the evaluation of the inventory control system of the studied mess stores and the priority of each one of them will be identified, in the second section, the priority of each criterion such as cost of item, annual demand for an each item hence find annual consumption cost in each inventory category (A, B, C) is Calculated based on conventional model, in the third section, presents an alternative way of classifying the different productive items of accompanies and this ABC model compares with the classic Pareto classification, which ranks productive items according to their importance in terms of frequency and costs whereas rankings obtained using the classical method are based on information about costs and demand over a period in the past "A-items" that result from this new classification. # Introduction iven that at present, all the organizations maintain thousands different types of inventory, it is likely to lose the effective inventory management. Therefore, it is particularly important for all the organizations to establish the appropriate inventory control systems or to evaluate and improve the existing inventory control systems. Because on the one hand, the organization encounters the inventory-related costs, including Cost of Holding, Cost of Ordering, Cost of Shortage the increase of each one due to the lack of a suitable inventory control system will have negative effects on the profitability of the organization. On the other hand, since the number of inventory items is largely increasing due to the increase of the customers' demands for different products, the organizations should have a quick and effective response to the customers' demands to survive and maintain their competitive advantage. The establishment or improvement of an appropriate inventory control system can lead the organization in this path. Considering that today, the organizations save a large percentage of their total investment in the inventories, it has become of a special importance to all organizations to properly manage the inventory and establish a proper inventory control system. According to what was mentioned, all the organizations need an appropriate inventory control and planning system in order to effectively manage their resources and inventories. Therefore, in order to create a perfect inventory control system, various inventory items should be classified into the significant categories based on appropriate criteria and standards. Various models and methods have been so far presented to classify inventory among which, ABC analysis approach is one of the most common methods which is widely used for planning and inventory control (Kilgour & et al 2006). Inventory classification based on ABC analysis allows the organization to classify its inventory into the significant categories. Generally, the above approach has been formed based on the Pareto Principle which is also known as "20-80" law. Regarding the organizations' inventory, this principle will be expressed as follows: In the manufacturing organizations, there are only a few inventories which mostly contribute to the cost of the annual consumption of the organization's inventory system and there are only anew inventories which a little contribute to the dollar value of the annual consumption of the inventory system. Given that the primary purpose of the inventory classification based on this approach is to create appropriate control levels for each inventory category, this question will be raised that whether the inventory classification based on single criterion ABC analysis will be able to meet all the needs of the organization's inventory control system. As a result, the organizations can apply proper control policies by identifying the most effective criteria in their inventory classification. This study has also tried to present proposed ABC model for the hostel mess stores, in order to evaluate the inventory control system of the studied in that. For this purpose, first, the criteria affecting the evaluation of the inventory control system, classification of inventory and the priority of each One of the criteria in the studied mess stores and the priority of each one of the criteria in each inventory category (A, B, C) have been identified and model will be proposed. # II. Literature Review # III. # Problem Environment A study is conducting in TCE men's hostel for my thesis. In TCE mans hostel there are two stores are available. One is for variety mess store and another one is for value mess store. Totally 550 students are in value mess and 650 students in variety mess. Here I identified the problem in inventory in both stores. Due to incorrect optimal order quantity and insufficient forecasting the more inventories held in both mess. In the mess stores they used previous experience for order the items. They did not use any formulation or techniques such as P MODEL, Q MODEL system for find the optimal order quantity. So that only inventory problem arises there. So here in my thesis I will use both the system and find EOQ for all items thereby reduce the inventory level and reducing annual consumption cost of mess stores. In order to find the EOQ, it is very important to know about that are the various items affecting the inventory cost in stores. So ABC analysis is requiring knowing about the inventory affecting items. Form the ABC analysis we have easily know the items which are contribute in inventory, only the A types item. So, in this paper presents only the ABC classification of stores items (grocery & vegetables) of hostel mess stores. IV. In this proposed methodology the various data's such as unit price of an item, annual demand of an item were collected from mess stores and based on this data, grocery and vegetables were segregated for doing the ABC analysis of an each and individual items. # Proposed Model V. From this ABC analysis of vegetables items A type items have more annual consumption costs. So here 4 items have classified under A category out of 28 items. # Results and Discussions # Conclusion In this study, the indices affecting the evaluation and control of the inventory control system of TCE men's hostel stores. the results of ABC classification that these criterions of "the required accuracy in ordering" in the inventory category A and the criterion of "the effect of inventory on the process" in the inventory categories B and C have the highest importance. From this ABC analysis of grocery items A type items have more annual consumption costs so here 13 items have classified under A category out of 57 item and of groceries. For vegetables here 4 items have classified # PIE CHART FOR VEGETABLES items have more annual consumption costs and creates more inventory in stores. So Economic Order Quantity and re-order level will be calculated for these A type items hence reduce inventory and annual consumption cost. 4![Figure 4 : Proposed model for ABC analysis](image-2.png "Figure 4 :") 51 : ABC analysis for groceryAnnualCumulativePrice/unitUnit/yearconsumptionvalues of AnnualSl.No Description(Rs.)(kg)Rs./yearConsumption(Rs.) Classification24Peanut oil85.9156001340041340040A1Rice(Ponni)34.6216007473602087400A2Idly rice28144004032002490600A35Ghee37010803996002890200A8Black gram62.948003019203192120A28Wheat flour34.772002498403441960A26Papadam10024002400003681960A54Garlic11918002142003896160A5Red gram64.632402093044105464A6Green gram71.928802070724312536A4Basmati rice84.7524402067904519326A21Fried gram53.536001926004711926A25Sesame oil2587201857604897686A41Boost3345401803605078046B42Bounvita3305401782005256246B37Prunes4083601468805403126B48Vermicelli5424401317605534886B20Asafoetida6001801080005642886B36Cardamoms5991801078205750706B27Maida flour35.530001065005857206B39Tea powder2903601044005961606B51Ground nut821200984006060006B 52 : ABC analysis of vegetablesAnnualCumulative ValuePrice/unitconsumptionof AnnualSl.No Description(Rs.)Unit(kg)/yearRs./yearConsumption(Rs.) Type1Onion1930000570000570000A3Tomato1310800140400710400A4Potato236000138000848400A20 Cauli flower24260062400910800A25Amaranth19300057000967800B2Shallot381200456001013400B28Drumstick60720432001056600BLadies8finger152400360001092600B19Beans191800342001126800B7Brinjal132440317201158520B10Cabbage102400240001182520B9Green chilli201080216001204120B17Ginger54360194401223560B27Panner25720180001241560C12carrot16960153601256920CCoriander15leaves20720144001271320C26Mushroom20720144001285720C © 2014 Global Journals Inc. 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