Get Organized! How To Better Manage Your Inventory

Jul 28, 2015

Getting organized will help smoothen the flow of your inventory management. There has to be a standardized system within your company for moving the goods in and out of your storage space. Regardless the size of your company or how much storage space you can afford right now, you have to think long-term for the movement and placement of physical goods that your company has.

Here are four ways to help you get organized within your storage space that will eliminate unnecessary complications.

Identification

As facts have it, a well-organized inventory has to do with the easily identifiable product names that are simple enough to remember and can be distinguished from one another with no sweat. Each product should be labeled with their own unique SKU (stock keeping unit). Though you as an entrepreneur may be able to identify them, your packers or warehouse assistance might have a difficult time if the SKU of products are too long or too similar to each other. To test out your products’ SKU, list a few items and get a random employee to pick these items out. If they are able to without complications, you know you are good to go.

Quantity

Managing the number of products hints at knowing the correct quantity to order from your manufacturer per item. Unfortunately, we cannot give you an exact number as a handful of factors come into play when deciding your product quantity. You will likely be able to gage the number through time as you grow and understand the buying personalities of your brand’s customers. Yes, we know, satisfying customer demands can be a challenge. However, some advice to managing the quantity of products in your inventory would be to label each shipment of stock when they arrive with the date. You will be able to pick out the best sellers, pinpoint the least popular items and know the average number sold per product for you to make future adjustments to your product quantity.  

Storage

A specific storage space for all your brands products is recommended. Having all of it in one-place speeds up packing and shipment. Of course, if your main office and storage unit are in the same building, workflow is much more efficient and there is room for communication error. It would also be easier if there are appointed personals that manage the storage on a long-term basis. As they are handling the product every day, they know where everything is.

Packaging

It is encouraged to only spend a minimum budget on packing material. Reducing the number of different types of packages used to ship out your products and the material inside to fill the empty spaces can do this. However, this will relate more to stores selling big and bulky items. Remember besides your product, everything else takes up space too. These ‘extra’ necessities have to be accounted for as well. This way, you will have effectively succeeded in managing your inventory efficiently.