The Advantages of Managed Inventory

Hi all. Found an excellent article that I am sure many will relate to. Hope you get something useful out of this...

Your small business can lose a lot of profits to mismanaged inventory. Having too much on hand uses up cash unnecessarily. Having too little on hand means running out of products when customers want them and losing sales. In addition, a business can simply not know where its inventory is and be unable to function. Having your inventory managed for you prevents a lot of headaches.

Reducing Inventory Leaks

When you have a vendor manage your inventory, you receive exact reports on how much has moved throughout your company. You can match this to your sales report to see if you're selling exactly what you're ordering. If your sales and inventory figures do not match, you have a leak somewhere. The problem could be theft or damage. This leak is simple to spot once your inventory manager reports concerns.

Identifying Demand Changes

One of the benefits of managed inventory is you get frequent reports. You can spot demand changes in these reports. If you're ordering more inventory week after week, for example, you can see that demand is rising, and you can plan your staffing and marketing accordingly. If you see less and less inventory going through, you know that demand is dropping. This may cause you to change your marketing strategy or switch to a new product to sell.

Looks like really useful info, eh? Just click here! If you’d like to share perspectives or discuss how it relates to your business, call me on (0429) 011-071 or email me at [email protected].

To your success,

Ian