Top 7 Tips To Improve Your Inventory Accuracy
By Phyllis Davis-Minik
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- Organize Your Inventory
Define what you have in inventory. Record information about your items including product number, description, sales, location, and quantity. Be sure to list any special needs the product has.
- Organize Your Storage Space
Mark all storage locations. Avoid clutter, use shelves and bins, Use fixed locations for similar items.
- Perform Cycle Counts
Every month pick a few products each day to reconcile with your inventory records.
- Get employees involved
This is one of the most important steps. Without employees assistance you may never be able to improve your inventory accuracy. Promote teamwork.
- Create partnerships with customers and suppliers.
It is very helpful to know what the demand will be for your products.
- Have an automated inventory system
Purchase a software program that can manage your inventory. Make sure it lets you perform physical inventory, shipping and receiving functions.
- Use tools like Electronic Data Interchange (EDI) and Barcoding
These tools can reduce the inventory data entry errors and save you time.
Phyllis Davis-Minik at http://www.edi-barcoding.com, is dedicated to helping your businesses improve inventory accuracy resulting in increased cash flow and reduced expenses. You can subscribe to the FREE monthly email newsletter at http://www.edi-barcoding.com/news.htm
Article Submitted On: March 11, 1999