Too much of a good thing is still too much. Too much chocolate cake, too much vacation … too much of anything isn’t healthy. The same goes for inventory in your warehouse. Too much inventory must be reduced to make room for new goods and to recoup some of your investment in inventory.
These tips will help you reduce inventory in your warehouse.
- Assess your warehouse regularly: Review shelves, stock, placement of items, picking and packing areas, and more. Look for items that need to be moved quickly and find ways to clear them from your warehouse.
- Track inventory in real-time: After you’ve reviewed your warehouse, track inventory in real-time. With real-time data, you can adjust your pick, pack, and ship process to better serve your customers.
- Reduce or eliminate inventory errors: Manual inventory counts lead to errors. Recording errors, transcription errors, and typing errors can snowball into costly mistakes. Eliminate or reduce errors by switching from manual inventory counts to barcode scanners which reduce mistakes significantly.
- Get rid of old inventory: Hold a “fire sale”, call up resellers, or donate inventory to a charity. Don’t hold on to old inventory past its expiration date. Like a carton of milk, it never gets better with age.
- Use technology to streamline manufacturing: Just-in-Time (JIT) systems, in which orders automatically trigger everything from raw materials ordering to job planning, can help you streamline manufacturing. Make to stock and make to order models can also streamline the manufacturing process.
If you are a manufacturer keen to adopt best practices with inventory in your warehouse, then contact Scanco online or call (877) SCANCO-1. We offer software for warehouse management, manufacturing automation, and much more.