A business’s life force is their ability to get products to their customers on time, all the time. An essential part of this equation is effective inventory management. We’ve assembled the top tips on how to manage your inventory like a pro.
Why Inventory Management Is Important
The supply chain is the network between a company and their suppliers, which assists the company in producing stock for their customers. Inventory management is the purchasing, storage, use and selling of stock, as well as all the processes within these four aspects. Inventory management is therefore essential in your supply chain as it maintains a balance between supply and demand.
Managing your inventory ineffectively can lead to lack of stock, excess stock or lost and damaged stock, which cannot be sold. Any issues with stock will affect your supply chain, therefore it’s important that your inventory is accurate and up to date at all times. Coordinated inventory management processes streamline inventory data to assist in key supply chain decisions.
Tips For Managing Inventory
Track and review your sales to see which products have a higher demand and when. Invest in inventory management software that updates inventory logs at the point of sale. Ensure there is a seamless flow of information between the demand management functions of the company, such as marketing, and operational functions of the company, such as manufacturing, to assist with planning for future inventory needs. This can be done by implementing sales and operations planning (S&OP) processes.
We at Industrial Clearance understand the trials and tribulations of inventory management and we hope this article has been informative in helping you manage your inventory, to keep processes within your supply chain running smoothly. Let us take a load off your back by selling your excess stock through Industrial Clearance today.