This comprehensive case deals with all aspects of materials planning and control in a medium?sized public sector manufacturing organization with an annual sales turnover of over Rs 3 crore. The emphasis is on spare parts management. The case raises the following issues: fixing of targets for investment in inventories; inventory models for raw materials and spare parts; regulating non?moving stores; organizational aspects of materials control; design of information systems to facilitate implementation of corporate decisions regarding inventory norms; and administrative procedures in the purchase, stores and inventory departments.