TEC BLOG: 10 TIPS FOR PERFECT (NEARLY!) INVENTORY ACCURACY
This week on the TEC Blog, Khudsiya Quadri provides 10 tips for almost perfect inventory accuracy. Of course, implementing SX.enterprise would provide significant improvement, but here are some complimentary approaches.
TEC Blog Excerpt:
Even though we have made enormous advances in technology and business processes, many organizations and manufacturers still cannot perform basic warehouse operations without going into reactive mode. This is mainly due to a lack of proper or basic inventory record maintenance and accuracy.
Some organizations don’t measure inventory in an accurate manner, or they don’t even have such measurements in place. Organizations need to understand that there are multiple benefits associated with having proper inventory management processes in place—to provide not only excellent customer service, but also to help determine future purchases and what needs to be prioritized in the manufacturing plant; reduce operating costs; and provide accurate data for financial records.
Inventory accuracy is one of the major performance factors in any warehouse or distribution center. To have the appropriate amount of inventory (i.e. not carrying too much at a time) is a major success factor for an organization.
Inventory can only be maintained effectively with the right processes and with proper material handling procedures in place. Most inventory control problems arise from poor inventory control measures and lack of proper processes to report transactions happening in real time within the warehouse. If an inventory issue crops up, the warehouse acts in a reactive manner rather than trying to fix the underlying issue. The best way is to have a process in place that nips these issues in the bud before problems occur. Most warehouse management system (WMS) solution providers have specific functionality for managing inventory as well as maintaining accuracy across the warehouse or distribution center. The objective of the warehouse is to have the minimum amount of inventory on the shelves to fulfill customer demand quickly and efficiently.