Emerging technologies have made it possible to conduct inventory management in a more efficient way than ever before, but that doesn’t mean the basic tenets of the practice should be treated like yesterday’s newspaper.
In fact, remaining mindful of what we think of as Inventory Management 101 is just as important today as it was generations ago. Precise inventory management is an essential part of operating an efficient, profitable, and customer-centric business. Without it, you’re at a tremendous competitive disadvantage.
To make sure you’re aware of and practicing the most important basics of inventory management, check out this quick-hitting feature from Logistics Management, entitled Inventory Management 101: Time to revisit the principles.
Saenz and Derewecki note that steering around flawed processes can be tough, but it can be done. You have to establish a starting point, know exactly what you have in inventory, and then establish processes that function not only in the present; but also in the future…as “warning signs.”
Picking, put-away, and replenishment all have to be improved, and accompanied by accuracy verification measures. These practices, and others detailed within the article are the bedrocks of effective inventory management, without them you don’t even have a chance.