How can you use perishable inventory data trends to optimize your supply chain?

1 Why data trends matter

Perishable inventory data trends are patterns or changes in the quantity, quality, or demand of your products over time. They can help you understand your customers' preferences, habits, and needs, as well as the external factors that affect your supply chain, such as weather, seasonality, competition, and regulations. By analyzing data trends, you can forecast demand, plan production, schedule deliveries, and adjust pricing and promotions. Data trends can also help you identify opportunities for improvement, innovation, or diversification in your product portfolio.

2 How to collect data

To use perishable inventory data trends effectively, you need to collect accurate, reliable, and timely data from various sources. Point-of-sale (POS) systems capture the sales volume, revenue, and customer feedback of your products at the final stage of the supply chain, while inventory management systems track the quantity, location, and movement of your products throughout the supply chain. Warehouse management systems monitor the storage conditions, capacity, and utilization of your warehouses as well as inbound and outbound shipments. Supplier management systems record the performance, availability, and costs of your suppliers. Software tools such as enterprise resource planning (ERP), business intelligence (BI), or analytics platforms can be used to integrate, process, and visualize data from different sources. Additionally, sensors, RFID tags, or barcodes can be used to collect real-time data on your products' temperature, humidity, freshness, or shelf life.

3 How to analyze data

Once you have collected data, you need to analyze it to gain meaningful insights and actionable recommendations. You can use descriptive analysis to summarize the current state of your perishable inventory, diagnostic analysis to explain the causes behind the data, predictive analysis to forecast future outcomes, and prescriptive analysis to suggest the optimal decisions or actions. Software tools such as spreadsheets, dashboards, or reports can be used to perform and present data analysis. Additionally, algorithms, models, or simulations can be used to further enhance your data analysis.

4 How to use data

The final step is to use data trends to optimize your supply chain and achieve your objectives. By leveraging data trends, you can align supply and demand, reduce waste and spoilage, and increase customer satisfaction. For instance, you can forecast customer demand and plan production, procurement, and distribution accordingly. You can also adjust inventory levels, reorder points, and safety stocks to avoid overstocking or understocking. Additionally, data trends can be used to monitor and control product quality and freshness, optimize storage and transportation conditions, as well as implement first-in, first-out (FIFO) or first-expired, first-out (FEFO) inventory policies. Furthermore, data trends can be used to tailor pricing and promotions to match customer demand and preferences. Finally, you can use data trends to enhance customer service and loyalty by providing accurate information, feedback, and support.

5 How to improve data

Using perishable inventory data trends can help you optimize your supply chain, but you can always improve the quality, quantity, and usability of your data. To do this, you should review and update your data sources, systems, and tools regularly to ensure accuracy and reliability. Additionally, validate and verify your data before using it to avoid errors or inconsistencies. Cleaning and organizing your data can remove duplicates or outliers. Furthermore, secure and protect your data from unauthorized access or theft. Lastly, share and communicate your data with your supply chain partners to improve collaboration and transparency.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?