3 Tips For Managing Your Business' Inventory
Do you ever feel like your inventory is stable one second, and then unpredictable the next? Despite your best efforts to keep it under control, that's not always the outcome. If your inventory has been getting the better of you lately, don't give up. We can help.
1. Check your math.
Part of stabilizing your inventory involves mathematics. You need to have accurate inventory counts as well as the proper controls to regulate quality and keep things moving.
2. Remember that timing is everything.
Make sure everything is in the right place at the right time. Companies typically need raw materials before starting a production run, but they don't want to bring them in too soon and suffer excess costs. If you're struggling in this area, re-evaluate your counting process. One alternative is to consider cycle counting. Cycle Counting involves taking a weekly or monthly physical count of part of your warehoused inventory. These physical counts are then compared against the levels shown on your inventory management system. The goal is to pinpoint as many inventory issues as possible.
3. Utilize technological tools.
Another way to help your inventory is using technology. With all this data flying around, it's important to use the right tools to gather, process, and store it. Investing in a good inventory software system is key. Using technology as a communication tool is also helpful. You may want to consider using online surveys, email contests, and even social networking to keep in touch with customers and gather this information.
For over four decades, the team at Whisman Giordano & Associates LLC has focused on building extraordinary relationships by working diligently and spending time getting to know our clients. Our focus is on providing peerless accounting, auditing, tax planning, compliance and business advisory services. We'd love to learn more about your tax situation and give you insight into what to do next.
Whisman Giordano & Associates LLC
Certified Public Accountants
111 Continental Drive, Suite 210, Newark
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