As a business owner or a high-level manager, it’s important to strategize carefully in order to manage your materials effectively and to ensure that your business’s inventory is adequately optimized. As examples, you’ll learn how to transport your materials more efficiently and how to keep track of your materials digitally. You’ll even discover how to keep your stockroom well organized and how to get rid of items that aren’t moving quickly.
A guide to materials management and inventory optimization:
Think about transporting your materials efficiently:
Pay attention to the journey which your materials take. For example, if a third party supplies raw materials which are used in a factory to create your business’ products, make sure that your business selects the most trustworthy yet cost-effective method of shipping your raw materials from their original source to your factory and from your factory to your stores or distribution centers. As if you’re able to decrease the transportation costs which are associated with transporting your raw materials, you’ll be able to decrease your production costs which will allow you to increase your business’ profits.
It may be a wise idea to ring other transportation companies for a no-obligation quote, to ensure that the prices that you are currently paying to transport your materials is a fair, competitive price. As you can always decide to swap the transport companies which your business deals with.
Make sure that you’re able to track your materials digitally:
Throughout every step of your materials’ journey with your business, you should be able to track the exact whereabouts of all of your business materials. For example, if you look up the reference number for a shipment of raw materials, you should be able to find out exactly where your shipment is at any point in time. Even if your shipment is on the road from one facility to another.
Make sure to clean out your inventory on a regular basis:
If you notice on your systems that there is particular inventory that isn’t moving and has been sitting in your stores or warehouses for far longer than you originally estimated, it may be a good idea to either run an online sale to get rid of your excess stock. Or to simply get rid of your stock, in order to free up valuable storage room for products that sell quickly and won’t be a liability to your business.
Market your items so that they fly off the shelves:
One way to ensure that items don’t stay on your shelves or in your supply room for too long is to invest time, money, and energy into promoting new products and collections. So that your potential customers are well aware of the new products which your business is offering.
So if you’re always looking for fresh new ways to increase your business’ profits, it’s well worth taking a look at how you manage your materials and your business’ inventory. In order to streamline both processes for the betterment of your business.
Infographic created by WSI, a fulfillment logistics company