A huge part of any business heavily depends on their inventory, whether in-store or in their warehouse. With that, you need to make sure that you manage your inventory effectively.
There may be some roadblocks ahead, but it is important that you come up with different ways and means to get over them and achieve your business goals. The work may be bulky, and you may need a hand along the way — and that is totally all right.
With all these things in mind, it is nice to think that there are ways to make your inventory work much easier. These will surely help a lot, as they will keep you focused on the more important aspects of your business. Here are some things you need to keep in mind:
Manage the schedule with suppliers
It is important that your inventory is loaded with the right amount of supply. To make that happen, you need to have an accurate prediction and projection of your market’s demand.
Demand forecasting is a practice that allows you to predict how many and which products your customers will buy during a specific period of time. For example, now that the weather is getting chilly, your customers would most likely look for clothes with thicker fabric.
This is why it is important to have enough inventory that will last during your supplier’s lead time. Lead time is the duration when the inventory will reach your store or warehouse. Ordering from a local supplier may take one to four days, while ordering overseas may take four weeks or more. Be sure you have some extra on-hand (known as safety stock) in case there is a delay in the delivery.
When you have inventory demand figured out, it is time to schedule deliveries with your suppliers. See to it that they comply with your conditions. Proper timing will keep you from wasting time and resources.
Set up protocols with your staff
Your protocols should follow a set of strict guidelines when it comes to the deployment of your stocks to your shop. That way, you will be avoiding spoilage (for perishable products) and occupying too much space (because the products were not that in-demand). The protocols should be specific, and that they have to put their customers first.
Archive all your paperwork properly
Many businesspeople make the mistake of thinking that the supply chain is not always document-based. While it is true that many processes today are going digital, many are still preferring a hard copy since stamps and signatures are necessary for validity.
In fact, you may still find yourself dealing with a lot of documents, such as receipts, cost estimates, and contracts. Of course, you will need to keep them safe, so why not digitise them (especially the older ones) and keep the original copies in archive shelving.
These are only some of the things to keep in mind if you want to ensure that your inventory management techniques are highly efficient. Come up with a solid plan with your team.