Your Seven Inventory Problems:
1. Stock counts not being done or not completed on time
Though less of an issue with digital inventory, manual inventory still faces issues with counting stock properly and on a schedule. Having a comprehensive list of inventory is important to understanding the proper number of sold products.
2. Purchase incorrect product
Spending capital on a product you don’t need is just money down the drain. Insuring your company is stocked properly is the most basic and essential inventory issue that every company should meet, but is one of the most common problems that affect the bottom line.
3. Not follow through on orders and deliveries
Purchasing incorrect products certainly effects the bottom line but following through with orders and deliveries are the bedrock of the company. Having problems in this area really hurts the profit margin and causes difficulties in the company.
4. Product not being pulled to orders or signed out at appropriate intervals
This issue is pretty particular but most certainly an issue with inventory. Mismanagement of the distribution of products most certainly slows down the flow of work and causes problems where there weren’t before. Time lost is money lost.
5. Late deliveries
Deliveries arriving late ties in to the lost time. For every late delivery is another. To reach a productive and profitable business the schedule must be punctual.
The speed of any faction of a company has influence on the overall success of the business but slowness in the management and distribution of product has an impact on the overall productivity of the company.
7. Costs not being capture
The process of properly pricing your product at the right margins is the vital process that creates profit. When costs aren’t being captured properly the company loses what they might have made that quarter. This is a direct issue that effects profits.