Worried about theft? Focus on proper inventory management

Improve efficiency to stay competitive.

Improve efficiency to stay competitive.

Store theft is a real issue that affects the bottom line of businesses across the country. But it may not be the number one reason your costs are down. In fact, it could have to do with your leniency in checking the inventory on your material handling equipment as you move about the warehouse.

According to DC Velocity, poor inventory management contributes to a larger loss of revenue than theft, and it’s an issue that runs rampant, as 99 percent of survey respondents reported some kind of continuous inventory problem. Moreover, 87 percent said that this was the number one cause of lost revenue, according to the news provider. As a result of poor inventory management, retailers suddenly find themselves with either too much or too little inventory, that ultimately affects their bottom line.

Getting a grip on inventory management should be a top priority for retailers, particularly those who are trying to keep costs down. According to Inflow Inventory, it’s a smart idea to calculate your minimal inventory stock level. This should be the smallest amount you want to keep on hand before re-ordering, and the equation can be adjusted when you start noticing peaks in season or growing consumer demand.

This entry was posted in Material Handling and tagged . Bookmark the permalink.

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>