Did you know that businesses that don’t properly track inventory are at greater risk of employee theft?
If your business is lacking inventory management efficiency, it’s easy to find yourself anxious. Between lost money and missing pieces, you can’t run your company without knowing where everything is. Warehouse management plays a critical role in your team’s success, but it’s one of the most challenging tasks to overcome.
The odds might seem like they’re against you, but keep reading below to discover the most effective strategies.
Invest in ERP
Enterprise Resource Planning (ERP) is a software that many businesses use to manage daily operations.
Inventory management is directly linked to your supply chain and production. If you want to quickly get things out the door, you need innovative tech to get the job done. With the right tools, you can track inventory and sales on the same system, reducing your total amount of work.
While ERP software may have some extra work to do to get the system tailored to your products, it’s worth the investment. There are plenty of systems but if you want the best cross docking software, you need to research each one.
Label Your Shelves
Does your team have a habit of placing inventory in random or easily overlooked locations?
Labeling your shelves and putting things away in the same place can help increase efficiency, regardless of your industry. Whether you want to monitor product supply for warehouse management or a restaurant, minimal confusion is best. Labels and consistency are your best defenses against missing money and inventory.
Forecast Your Needs
You can’t predict the future, but you can make intelligent guesses of how much you need for orders.
The best way to get these numbers is by looking at previous data. Calculating the average sum for items ordered each week can help you decrease inventory ordering time and be prepared. Although your needs may fluctuate, you’ll have fewer items to “86” each night.
Practice the FIFO Method
Have you ever heard about the “First in First Out” method?
This is one of the most common inventory strategies that could save your reputation. If you have inventory with expiration dates, this rule shouldn’t be broken unless you’re okay with wasting money. You can’t keep outdated items on the shelves, especially if they put customers at risk.
Encourage your team to take the time to move items around on the shelves. This might delay stocking periods, however, you won’t have to deal with lawsuits or being wasteful.
Turn 2024 into a Year of Inventory Management Efficiency
If you don’t know where your inventory is going, you don’t need to install cameras in every corner.
You can improve inventory management efficiency by upgrading your systems and being consistent. When you follow the same system, fewer errors arise and your team can focus on the bigger picture. Your business will excel in your industry this year and propel you into future success.
Since running a business and tracking inventory can get tricky, check out our blog for the latest content that will help!
Malindy Hetfeld is a full-time freelance writer and translator specializing in game narrative, Japanese games, and, of course, music. You can find her work on Eurogamer.net, Unwinnable.com, Official Playstation Magazine and zobuz
