Stock is very important for most ventures, but if it is managed incorrectly it can cause losses rather than benefits. As the business is currently looking for better results and away from all accommodation, stock optimization is an increasingly present reality. But do you really know what that is? Ask your questions below.
The concept of stock optimization
Stock optimization is also called inventory optimization. This is basically to make the stock as lean and beneficial as possible. This means that it will be optimized in such a way so that it is the ideal size, thus ensuring the supply needed for all purchases.
Such stock enhancement also relates to fairly precise control over the flow and stock turnover in general; even to ensure the correct supply of the items. In addition, this optimization also involves planning and predicting demand, as well as reallocating resources and items.
The Advantages of Stock Optimization
In an increasingly dynamic corporate world with increasingly specific needs, this process is a must for any enterprise that wants success. In this sense, the main advantages of such an improvement include:
- Reduction of costs
An optimized stock is leaner and therefore requires less operating costs both in terms of its management and storage.
In addition, a well-tuned stock also allows refueling to be done in a planned and assertive way, which leads to a reduction in the costs associated with urgently needed purchases, for example.
- Increased product availability
About replenishment, including stock optimization ensures greater product availability. That means that with the improvement done right, there is less chance that a product is constantly out of stock.
This is important because lack of availability may be one of the factors that cause customers to give up buying, leading to a loss of business opportunity. With more availability, there is more sales, more loyalty and also greater customer satisfaction.
- Competitive advantage
Stock optimization leads to a competitive advantage because it greatly reduces storage costs and decreases the time of on-site flows and movements. The results of time and resources, better than the previous ones, can obviously become relevant in comparison to the market competitors, in order to offer better services to the clients.
The most frequent question about how to optimize stock
It is not uncommon for entrepreneurs to try to mop up their expenditures and delay investing in a system to optimize inventory. In the past, many things were feasible to be fulfilled in supply chain management. It is through manual control and spreadsheets. Is it still possible these days?
Not only the speed that the current market demands, but also the possibilities of integration with other control modules, such as the logistic part and the acquisition of data in real time, give the manager a wide aptitude for making important decisions. And investments have returns in less time than you might think! It is worth seeking quotes from good stock management solution and supply chain automation, as well as having projections of the benefits it would bring to your company.
Stock optimization is very important so that the business can have the best and most suitable stock and consequently achieve better results. More than a simple action, such perfection is a goal, a strategy to position itself better in the market. What about you, do you have any other questions about the process? Take this opportunity and comment!
ORBIT Logistics is one of the world’s leading suppliers of inventory management solutions (VMI – Vendor Managed Inventory and SCM) and real-time data acquisition.
Our company, founded in 2003, provides a modular system for supply chain management and automation, serving global customers from offices in Leverkusen (Germany), Atlanta (USA), Sao Paulo (Brazil) and Shanghai (China). A highly qualified team of more than 40 engineers and technicians offers customized turnkey solutions for process management and monitoring.
For more information:
Phone: (55 11) 3796-1755 / 1756
Cellphone.: (55 11) 96420-1701