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Resource management

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In organizational studies, resource management is the efficient and effective deployment of an organization's resources when they are needed. Such resources may include financial resources, inventory, human skills, production resources, or information technology.

One resource management technique is resource leveling. It aims at smoothing the stock of resources on hand, reducing both excess inventories and shortages.

The required data are: the demands for various resources, forecasted by time period into the future as far as is reasonable, as well as the resources' configurations required in those demands, and the supply of the resources, again forecasted by time period into the future as far as is reasonable.

The goal is to achieve 100% utilization but that is very unlikely, when weighted by important metrics and subject to constraints, for example: meeting a minimum service level, but otherwise minimizing cost.

The principle is to invest in resources as stored capabilities, then unleash the capabilities as demanded.

A dimension of resource development is included in resource management by which investment in resources can be retained by a smaller additional investment to develop a new capability that is demanded, at a lower investment than disposing of the current resource and replacing it with another that has the demanded capability.


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