7 Types of Inventory Risk and Their Impact On Your Business
The main purpose of carrying inventory is to provide your customers with the goods and services they expect, when and how they expect them. Businesses make significant financial investment into inventory to facilitate the running of their business, for the purpose in which that business exists. Holding inventory, however, comes with numerous risks ... Read More
January 27, 2020 cloud inventory management, inventory control, inventory managementUnderstanding How Business Intelligence and Reporting Impact Your Business
When you’re running a warehouse, you need to be in the loop with what’s going on, what product is moving where, and if your inventory control is working how you intended it to. There are a few different ways to gain this understanding — some inventory managers turn to reports, while others use business intelligence […] ... Read More
January 24, 2020 business intelligence, inventory controlIs Your Business Experiencing Inventory Risk?
When you have a warehouse full of inventory stock, there is a lot to keep track of to make sure everything gets stored, accounted for and distributed properly. Having a healthy supply of inventory stock helps your business ensure it can meet customer demand. To keep up with demand, this often means you need a […] ... Read More
January 22, 2020 inventory control, inventory management5 Factors Affecting Lead Times for Manufacturers
Lead times refer to the time taken between the initiation of a manufacturing process and its completion. Types of lead times differ based on the product or customer but for the purpose of manufacturing or assembly, the primary four lead times are: Customer lead time Material lead time Production or manufacturing lead time Cumulative lead […] ... Read More
January 13, 2020 inventory control, lead time, manufacturing4 Causes of Inventory Discrepancy in Your Stocktaking (And What You Can Do About It)
An inventory discrepancy happens when the actual on-hand inventory stock is different from the item quantity recorded in an inventory system. Discrepancies are not uncommon and can have a substantially negative impact on any business operation. Undetected stock discrepancies can result in lost sales, overstocking and poor customer service. Frequent ... Read More
January 7, 2020 inventory control, inventory levels, inventory management, stocktake5 Causes of Inventory Waste That’s Costing Your Business and How to Avoid Them
Inventory waste can cost your business valuable time and resources. Inventory ties up capital and if you’re not managing it effectively it will quickly absorb important cash flow and worse, it can hide inefficiencies within your operations. It is crucial to optimise inventory control to help reduce your inventory waste. However, before you can re ... Read More
December 16, 2019 eliminate waste, inventory control, inventory cost, inventory stockThe Pros and Cons: International and Domestic Sourcing
It’s easy to oversimplify the differences between sourcing for parts locally or internationally. When considering where to purchase from, the prevailing idea seems to be that domestic sourcing allows for better control and shorter lead time, but international sourcing is more cost-effective. Let’s compare the strengths and weaknesses of both in ... Read More
December 16, 2019 inventory control, logistics, shipping, supply chainUnderstanding The Difference Between Lead Times and Inventory Cycle Times
Lead time and cycle time are widely used terms in the world of lean manufacturing processes. However, people are often confused when trying to understand the difference between the two and their significance to lean operations. Lead times are an external process that start when a request is made for a product or service and […] ... Read More
November 20, 2019 inventory control, inventory reporting, lead timeUnderstanding the Key Factors Affecting Inventory Control for eCommerce Businesses
The nature of online businesses is significantly different in scale and operations to traditional retail outlets and as a result the scale of inventory stock can range from small home storage to vast, multiple warehouses facilities. Regardless of whether it’s a multichannel business, its size or nature of the business, it is essential to keep ... Read More
November 11, 2019 eCommerce, inventory control, multichannelA 3-Step Guide: Identifying Underperforming Suppliers
Properly tracking and evaluating supplier performance helps ensure smooth operations and profitability. This becomes extra important as you prepare to order stock in the lead up to the holiday season. If a supplier seems to always have an excuse, you’re not wrong in being sceptical if it’s a common occurrence and affects your business schedule. ... Read More
October 31, 2019 inventory control, supplier management, supplier relationship, suppliersAged Inventory Reports: What are they and how do they impact inventory control?
Aged inventory generally refers to inventory stock that has been held for longer than six months usually due to low consumption or slow sales. Aged inventory is not an overnight occurrence however, any surplus of inventory stock is both costing you money and restricting your cashflow. Aged inventory reports Aged inventory reports are documents that ... Read More
October 30, 2019 inventory control, inventory cost, inventory reportingOnline Inventory Control and the Importance of Purchase Order Tracking
A purchase order (PO) represents a legal contract between a business and its suppliers for the purchase of goods and services. POs help to ensure that the right quantity of goods or services is delivered in a specified time frame and at the level of quality expected. They also provide a framework for accurate inventory […] ... Read More
October 29, 2019 inventory control, inventory management, inventory management software, purchase orderThe Unique Challenges Inventory Management Poses to the Restaurant Industry
Restaurants are arguably one of the most challenging businesses in which to control inventory; the fundamental nature of supply, demand and the products themselves set them up for a fickle inventory ride. They are governed inevitably by seasonal availability and subsequent pricing, trends and individual palates, health and safety compliance, the pr ... Read More
October 21, 2019 inventory control, inventory management, inventory management software, stock takeBig Obstacles for eCommerce Retailer
Inventory management is a vital part of a retail business. When you’re selling products via eCommerce platforms, it is even more important to make sure your inventory is under control. There are still a significant amount of retailers who run a stock take manually to manage their inventory, which leads to many problems on how […] ... Read More
October 11, 2019 eCommerce, inventory control, inventory managementManaging Underperforming Suppliers: What You Need to Know
Supply chains are becoming progressively more complex as businesses rely on a large network of manufacturers, wholesalers, retailers and a growing portfolio of inventory stock varieties to meet consumer demand for more choice. Stocking goods in the right quantities to meet demand maximises inventory turnover rates and will ensure that goods move qu ... Read More
October 10, 2019 inventory control, supplier management, supplier relationship, suppliersSolving Traditional Inventory Challenges with Online Inventory Control
Marketplaces are constantly changing, and eCommerce is driving increased competition for both large organisations and SMEs from across the globe. Supply chains are becoming increasingly complex and customers are correspondingly as demanding as they are more vocal about their experiences. Factors affecting inventory managament are becoming equally c ... Read More
October 4, 2019 inventory control, inventory management, inventory management software, inventory stockHow to Set Meaningful Assessments and Key Performance Indicators
It’s important to take the right steps when setting Key Performance Indicators (KPIs) to ensure they are meaningful and deliberate to help improve business performance. To achieve meaningful KPIs you must first have a clear understanding of the difference between KPIs and targets. Key performance indicators KPIs help businesses to understand how ... Read More
September 20, 2019 inventory control, inventory reportingAn Overview of Best Practices for Efficient Purchase Ordering
A purchase order (PO) is a document issued from a buyer to a seller that communicates a request for procurement of goods or services. PO’s also form part of an organisations inventory control practices; they help to increase purchase efficiency and serve as a legally binding contract, enforcing the deal between purchaser and supplier. Getting [&h ... Read More
September 18, 2019 inventory control, inventory management, procurement, purchase orderPurchase Orders and Purchase Requisitions: What’s the Difference?
Supply chains are a fundamental tool for any inventory business. However, supply chains are a very involved and sometimes complex process. It’s vital to understand how the procurement process works and making sure you understand what different parts of the process mean. Two key parts of the procurement process are the purchase order and purchase ... Read More
September 10, 2019 inventory control, inventory management, purchase order, supply chainWhy Sales Reports are Important to Inventory Management
When managing your inventory, you are always looking for ways to optimise and improve your operations. Trying to keep healthy levels of inventory without overstocking or understocking is a difficult practice that most inventory businesses experience. Having inventory stock go in either direction can be a costly exercise. This can lead to greater pr ... Read More
September 9, 2019 inventory control, inventory management, inventory reportingShould Your Business be Using Purchase Order Tracking?
When you’re managing a warehouse and trying to run a business, purchase orders can play a vital role in enhancing transparency throughout your entire organisation. They can help you track what’s going on through the simplicity of a single number. Whether you run a small business or you play a role in a large procurement […] ... Read More
September 7, 2019 inventory control, purchase orderTwo Ways You Can be in Control of Lead Time
Ensuring your business has enough stock on hand is a juggling act. Most businesses store inventory to ensure they have enough to meet a surge in customer demand. However, they run the risk of tying up capital in excess inventory. A better solution is to focus on reducing the lead time in your supply chain. […] ... Read More
September 4, 2019 inventory control, lead time, supplier management