5 Inventory Management Tips For a Smoother Workflow
Keeping a good inventory workflow is essential if you want to avoid hiccups and out-of-stock problems. A smooth inventory workflow will help you keep your buyers satisfied so that they become repeat customers. Here are five great inventory management tips.
Always try to forecast your future sales. Of course, this is difficult and you will not always be entirely accurate. However, if you factor in things such as seasonal demand and fashion trends, it will at least be better than just guessing it. There are also programs that will analyze past sales for you and use that data to predict future sales, but take them with a grain of salt.
Have a Minimum Quantity
Always have a minimum quantity for each product stock that you store. This will help ensure that you don’t lose sales and revenue due to products being out of stock. Again, you’ll need to make some estimates based on past demand and predicted future demand. Adjust your minimum quantity as necessary.
Have a Maximum Quantity
Similarly, you should have a maximum stock quantity. This will help ensure that you do not overstock a product, which can lead to significant losses. It’s especially important to have a maximum quantity if your product has an expiration date. Both your minimum and maximum quantity can change based on seasonal demand.
Keep Products Fresh
In order to keep products fresh, have a system where products get shipped out based on the order you received them (first in, first out). This way, your products won’t stay on the shelves for too long.
Use a WMS
Consider using a Warehouse Management System to process your shipments and orders. This is the best and easiest way to keep your inventory flow smooth.
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