Efficient stock management is essential for running a successful business. Yet, many business owners rely on outdated methods or fail to track their stock altogether. Does this sound familiar?
Are stock management issues taking up valuable time you could spend on other critical tasks? Or worse, have you had to tell a customer their order isn’t available due to inaccuracies?
If so, it’s time to rethink your stock management strategy. A good strategy saves time and money, protects your brand’s reputation, and makes life easier for your team.
By addressing existing stock challenges and implementing effective management practices, you can improve your business’s efficiency, profitability, and overall health. Wondering how to get started? Read on.
So, how can you develop a better stock management solution for your manufacturing or retail business? Try these tips:
- Be sure to always separate the different categories of inventory (raw materials, unfinished products, finished goods, in-transit goods, etc.)
- Choose a Manufacturing CRM software solution that streamlines inventory and order fulfilment processes with automated tracking and finance integrations.
- Work with a CRM that allows you to monitor the situation across multiple devices on a 24/7 basis.
- Take the time to train all relevant staff members in using the CRM and set company-wide standards and protocols.
- Be sure to track all relevant data for inventory, including barcodes and details of suppliers or lot numbers.
- Reject the option to place automated repeat orders with vendors. Handle reorders yourself to maintain good stock levels at all times, and keep an eye on customer pricing changes.
- Use the “80% of your profit should come from 20%” of stock and prioritise the inventory that falls into this category.
- Select CRM management tools that offer visual tracking of all items, allowing your team to identify issues ASAP.
- Take the time to analyse suppliers, as effective stock management isn’t solely about internal matters.
- Complete regular audits. This could be weekly, monthly, or quarterly, depending on your business model, but it must be done to ensure stock management processes are being followed.
How to Manage Stock Effectively: Here’s Where to Focus Now
No matter where your business is in this process or where the specific hangups are, it’s critical to put in place a strategy for effectively managing inventory.
- Improve your inventory control software: This is by far the best decision you can make to see significant visibility into your inventory and where the delays or concerns are.
- Audit your stock: If you have not done so, this needs to be a priority to get ahead of the problems. Accuracy matters here.
- Use accurate forecasting: If your stock management is not providing enough support for accurate forecasting, then that could be the biggest focus. Today’s forecasting solutions can be very effective when selected properly.
- Improve relationships with your suppliers: In some situations, this can become not just the problem but the solution. Even if you have forecasting mistakes or demand is unprecedented, a good relationship with your suppliers can help minimise further supply chain concerns.
- Know when it’s time to get help: If you’re really falling behind, it could impact your business. To effectively manage stock, you may need to overhaul the process to pinpoint areas of opportunity.
Stock management is critical. It’s at the heart of the success of your company, and an ongoing inventory struggle is going to cause long-term financial difficulty, impact your brand, and limit your overall success.
The good news is that it does not have to be that way. Instead, you can apply these strategies to manage stock effectively and get your business back on track.
Read Blog: Internal Stock Controls
Okay, so maybe your business needs a new CRM system?
If your stock management processes are currently causing a lot of headaches, it’s likely that inadequate tech tools are at the heart of those issues. The big question is, how do you know which CRM is right for you?
Flowlens is priced to suit small businesses like yours, and it can also evolve alongside your company. Crucially, the features ensure that all of the stock management elements above can be optimised for efficiency.
Can you really afford to keep persisting with outdated methods that negatively impact everything from revenue to inventory organisation and order fulfilment? The answer is probably not.
So, how can your company regain control?
The fact that you want to improve your stock management processes shows that now is the time to make things happen. Do you have multiple working in the stock management aspects of your company? If so, any improvements must focus on building a cohesive team.
Nonetheless, choosing the right CRM software will make the transitional phase a lot smoother. Moreover, establishing those protocols that combine advanced tech with easy methods will support any future employees too.
To find out more about how Flowlens can enhance your stock management strategy, why not book a demo today to view our manufacturing control software and features? We’re here to help.
