Impromptu inventory management is like managing money and expenses without any control. After all, it consists of assets that will become liquid in the short term, so they have a lot of weight and financial value.
For this reason, from the moment the business plan is defined, you need to develop a logistical and strategic plan covering all activities related to control in this area.
If your company started its activity many years ago and you haven’t taken this step yet, don’t be discouraged! In this case, carefully analyze the characteristics of your operations and identify the classic problems that you face in inventory, and then develop a broad strategy focused on optimization.
Thus, after a short amount of time, you will be able to notice cool results and achievements in the workflow. And most importantly, you can simplify a large number of different work processes. If you do not know how to do this, then inventory management consulting will help you with this.
In addition to establishing an optimal inventory level and specifying the technologies and resources you will use to monitor your operations, an inventory logistics plan requires you to determine the following key points:
Specific tasks
It is very important to determine exactly which operational tasks will be part of inventory management: periodic checks, audits, product introductions, inventory updates, and applied technology management can be some of these functions.
Clearly define them and indicate the contexts in which they should be performed, as well as their frequency.
Task Managers
Once you have defined the tasks, it’s time to assign responsibility for each of them.
Evaluate your human talent profile very well so that you can give each employee a function tailored to their characteristics and skills.
Many entrepreneurs, realizing the enormous value of inventory, tend to take on all the tasks of managing it, which is a big mistake.
For management to be intensive and allow constant monitoring, you need to delegate functions and rely on your team.
Hierarchies
Inventory management should have a small organizational chart defining the hierarchy of employees involved in this area. For management to be effective, you must appoint a leader or supervisor with whom you work hand in hand and constantly check the effectiveness of the management model.
Warehouse sorting systems
Although the digitization of your inventory is very important, this does not mean that you can neglect the inventory on the physical plane. Their correct sorting and classification are also important for loss prevention and optimization of day-to-day operations. Sort and classify them according to some inventory management methods.
Given this reality, it is convenient to define a system for organizing goods, which can be:
- ABC method: it is about organizing the warehouse in such a way that the products with the highest value are the most accessible and visible, to guarantee greater control and speed of management. Category A includes those items that typically make up about 20% of inventories but have an estimated economic value of 80% of inventories. However, category B products are installed in areas with medium access, and type C products are installed in the most remote areas or areas with the greatest management complexity.
- FIFO method: the first thing that comes in must be the first, that is, it is sold. This method is used when storing perishable products and technological devices that can become morally obsolete in a short time. The goal is for new items to be ordered from the most privileged areas in terms of access to the warehouse. In addition, in the assortment of stores and businesses, they are displayed in places with the highest visibility to encourage their immediate rotation.
Do not forget that special software plays a big role that will help control the entire process. You can always order the development of unique software or install a special application following the resource you use. What about the first, what about the other will help you https://dinarys.com/magento-mobile-app.
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