How does your ERP stack up. Five tough questions every busienss should ask |
| These questions are a result of many years of implementation consulting and problem solving for small to large businesses over the past decade. While we don’t address every issue encountered by a business, we do focus these questions on the issues with potentially the most cost impact, and highest return on investment; How often do you not have the required inventory to fulfill an order in a quarter? This means finished goods as well as raw material to produce the finished goods. A) To often, B) Once or twice were short, C) Never short. Not having what is needed when needed can wreak havoc in your business. Expediting the material eats away at your gross margin, and late order delivery risks customer loss. 2) How much inventory do you carry on-hand? A) Enough to handle any possible situation, B) More inventory then we need, C) Just enough to meet our demand. Stated in simple terms, the goal of effective inventory management is to have on hand at any given time only enough inventories to support planned sales until the next delivery arrives, plus a safety stock to cover any short term sales spike and the possibility of a late vendor delivery. Read the entire article... |
  |
You must be logged in to post comments on this site - please either log in or if you are not registered click here to signup
