Effective inventory management is a crucial part of operating a successful business that sells to other businesses because it guarantees you’ll always have what you need on hand when you need it. To a certain extent, that assertion is true for any business-to-business operation.
Did you know that GoBiz USA offers a FREE premium B2B operation platform that focuses on tracking inventory levels in real time?
If you care about satisfying your customers’ product requirements, you must keep your inventory under tight management and up to date so you need a reliable system that tracks all your data.
Now, keeping stock amounts under control is one of the more challenging aspects of inventory management. GoBiz USA is your B2B solutions platform, and offers some advice on how to better manage your inventory so that your company can thrive all year long.
With that being said, here are six proven methods for keeping track of your inventory:
- Study your sales data and determine the drivers of that data. Managing inventory costs effectively requires first recognizing and responding to trends in sales. You’ll need to examine your sales data to figure out which goods are hot sellers and which are sitting in storage. You’ll be able to modify stock amounts in response to this information. Your GoBiz USA CEO dashboard can do all that and more, which is just one of the many reasons why you should do business with GoBiz.
- Use technology; platforms like GoBiz USA are just one of many accessible software and mobile app options that can help you better manage your stock levels. If you use our Oracle Netsuite all-in-one B2B operating system, we can help you monitor your stock levels in real-time and set up automatic reordering for when they drop below a certain benchmark.
- Follow these procedures to set up a FIFO (first-in, first-out) system: If you want to keep your stock constantly refreshed and change over your inventory frequently, a first-in, first-out (FIFO) system is a must. Following this rule, fresh shares should always be placed in front of any shares already in your possession. This will ensure that the earliest inventory is sold off first before it has a chance to go stale.
- One more thing to do to manage your inventory is to keep a watch on how your suppliers are doing. To ensure that you have the supplies you need when you need them, it is essential to monitor lead times, delivery times, and purchase accuracy.
- Think about the idea of an “insurance stock”: Maintaining a safety stock of additional inventory can help mitigate the effects of supply chain disruptions and unforeseen increases in demand. Having a safety stock as part of your general inventory management strategy ensures that you are well-prepared for any eventuality.
- Be sure to conduct regular stock checks. Reviewing your inventory at least once a month will ensure that you are keeping an accurate and up-to-date record of the stock levels in your company. This will help you spot any discrepancies and decide if any tweaks are necessary.
In a nutshell, keeping close tabs on your inventory stock amounts is crucial to the smooth operation of any business-to-business (B2B) venture. By learning your sales patterns, using technology, setting reorder points, implementing a first-in, first-out (FIFO) system, keeping tabs on supplier performance, factoring in safety stock, and conducting regular inventory reviews, you can gain control of your inventory and ensuring you have the right products in stock at the right time.
GoBiz USA allows you to monitor your inventory in real-time, drop ship directly from our US-based warehouses to your customers, accept payments, and much more. You can start using GoBiz USA for all of your business-to-business operations at no cost when you become a GoBiz USA Business Member.