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Inventory Management

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How is the Inventory management process?
- It's a hard process, especially for larger organizations, with the same basics, doesn't matter the kind of organization
- Inventory management has a responsibility to deliver goods into the receiving area, those components are put into stock areas
- According to physical space, in smaller companies, the products could go straight away to the stock area
- In case of wholesale distributor, goods can be products rather than raw material
- Inventory management makes use of multi information to keep tracks of the goods, as serial number, cost of goods, quantify of good, etc
- You'll find more information in the next link about Inventory management process: https://www.zoho.com/inventory/what-is-inventory-management/
- Watch this video to learn more about Inventory management process
How does it work?
- Supervise the flow of good from manufactures to warehouses
- It has an important function that is to keep a detailed record about each new or returned produc
Benefits of inventory management
- It's a strong aspect of a business, managing inventory will help you to get visibility in the supply chain
- There are many benefits as:
  - Increased sales
    - Active invectory
  - Increased information transparency
    - Know the time that items are received, kitted, manufactured
  - Shorter lead times
    - Their inventory is active, it produces a reduction in lead times
  - Lower cost
    - Help result in decreased inventory write-offs
  - Improved delivery performance
    - When the inventory is update all the flow of good and services are better to your customers
  - Increased employee efficiency
    - Big solution in an inventory management save time
  - Accurate planning
    - Make good decisions according inventory trend
  - Decreased stock-outs
    - Their decreased stock-out is less with an inventory management active
  - Increased customer loyalty
    - Customer will feel grateful about your accuracy and efficiency
  - Increased inventory turover
    - Optimize the value of your goods, keeping fewer slow moving products on hand
  - Watch this video
Improving your inventory
- Managing inventory has a great importance because it helps us to identify problems and mistakes before to star
- Tips for improving your inventory management
  - Don't miss sales due to out-of stock items
    - Make observation of inventory is the key for success
  - Don't waste cash in overstocked inventory
    - Spent your money in the right way, don't buy unless items
  - Identify issues before they get out of control
    - If you monitor your inventory level, will be easier to find issues
  - Improve the accuracy of your accounting and profit reporting
    - You have to be sure what's the stoke to confirm profit reporting
  - Customer service
    - Having a system is essential because will help you to easily and find what they are looking for
  - Efficient re-ordering
    - If you have a inventory system, you won't be worried because the the process will be easier
  - Minimize theft and losses
    - Make a consistently manage in your inventory will help you in a lower chance of theft
  - trust in your information systems
    - If your system have the right information, you'll get better data for more accurate reporting
  - Minimize warehouse costs
    - You'll be able to process more order if you know where things are
  - Efficient stock take and end- of-year
    - If your level are up date, you won't have issues, and will have a big efficienty
  - Watch this video