Gaining Clarity on Inventory Effectiveness

Supply Chain Shaman

The impact of complexity on inventory is not quick. To help, today I want to share some of the insights from our recent Inventory Optimization study. Inventory management is a hot issue. Companies invest in project after project, yet inventory levels remain the same.

Seven Misconceptions on Managing Inventory in a Market-Driven World

Supply Chain Shaman

When it comes to the management of inventory in value chains, frustration abounds. Executive, after executive, lament, “They have purchased many technologies and sponsored many projects to reduce inventories, but they are not seeing results.”

Inventory Metrics: From Insight to Action


by Andrew Dunbar Over the last several weeks, this blog series on Inventory Management has explored the objectives and roles of inventory managers and outlined several of the improvement levers available to them. So, what do you need to measure to manage your inventory ?

Supply Chain News on Inventory Performance 2015 and Some Interesting Comparisons

Supply Chain Digest

Last in a Series, we Look at Different Inventory Turns in 2014 by Dfferent Companies within a Sector

Creating an Actionable Plan for Unlocking Working Capital with Inventory Optimization


For many companies, the term “inventory optimization” has become more of a catch phrase than an actual reality. The idea of cutting inventory costs while maintaining the same level of customer service is rather elusive. Hence, reducing the need for an excess in inventory.

Your supply chain is costing you money – Reason #6 Not effectively managing inventory.


Reason #6 Not effectively managing inventory. Unfortunately, all the same kinds of things can happen to your supply chain inventory. Except that your inventory costs millions of dollars. So what strategies are out there to maintain inventories at the “right” level?

Financial Benchmarking for Inventory Turns and Working Capital


Using so called orbit charts, we have benchmarked companies on EBIT% versus Inventory Turns. That benchmark helped to reveal the ‘best practice frontier’, which in turn helped in setting aggressive but aligned targets for EBIT% versus Inventory Turns.

Phantom inventory, and what makes it so scary


That’s exactly what phantom inventory is: when a product is not reported as out-of-stock because the stores’ systems register that they have on-hand inventory, but in reality the product is not available. In other words, the recorded inventory is like a phantom?—?it

Understanding Inventory Reconciliation


It can be a pretty big task, but inventory management is necessary to keep a company afloat. One piece of the inventory management puzzle is inventory reconciliation. Let’s delve into the ins and outs of inventory reconciliation so you have a better understanding of its role in the warehouse. So, what is inventory reconciliation? This comparison allows you to see if there is a difference between your inventory stock records and what you actually have on hand.

8 Inventory Costing Methods That You Might Not Know About


Inventory costing or valuation is an accounting concept that has a direct impact on your gross profit and thus taxable income. Methods of valuing inventory are simply different cost-flow assumptions about how to allocate your cost of goods available for sale. Retail Inventory Method.

4 Ways Big Data is Changing Inventory Management


It is tempting to draw a comparison between big data and master data management (MDM) as the two terms are interconnected, but they are different. This information may include inventory levels, customer information, sales and other basic data that can be moved onto one file.

Shaw Industries implements Collaborative Forecasting and Inventory Optimization

Supply Chain Movement

Shaw Industries, a carpet manufacturer and floorcovering provider, has recently decided to implement the Central & Collaborative Forecasting and Inventory Optimization solution from OM Partners within its Hard Surfaces division. ” Cases capacity distribution integrated planning interface Inventory Optimization itsubwaymap Manufacturing Melissa Crawley planning production scenario scheduling Shaw Industries

Top Warehouse and T&L Zebra Scanners


Top Zebra Scanner Comparison. Check out our spec comparison below to see how well they out perform previous generations. For Transportation & Logistics and Warehouse & Distribution.

Inventory Reporting: Creating a Great Business Report


Inventory reporting. Online inventory control solutions not only help to improve inventory control but provide accurate, real-time insights, generating a variety of inventory reports to support great business reporting. Inventory reports can be included in the body of, or as appendices to business reports to support conclusions or to validate recommendations. Historic inventory reports are valuable tools to assist with sales predictions and demand forecasting.

Rossmann Optimizes Its Inventory with RELEX

RELEX Solutions

On August 31st, the journal ran an article about Rossmann’s and RELEX’s joint supply chain project where Michael Rybak (Managing director Sales, Logistics and IT) and Jürgen Mattulke (Head of Inventory Management) of Rossmann spoke about their impressive results. Overstocking of promotional products was cut by 25 % in comparison to the previous year, whereas out-of-stocks were reduced by 10 %. The post Rossmann Optimizes Its Inventory with RELEX appeared first on RELEX Solutions.

Five Reflections From Supply Chain Planning Benchmarking

Supply Chain Shaman

However, for elements like forecast error, customer service and slow-moving inventory self-reported data is not sufficient. While every company will agree that this data is VERY important, the lack of standard definition precludes comparison. This is one element of inventory.

How to Overcome 5 Challenges of Restaurant Inventory Control


Controlling and monitoring inventory stock is an ongoing challenge for may restaurant owners. Properly managing your restaurant inventory is, however, crucial to the financial and operational functions of the restaurant from the perspective of waste reduction and controlling your food costs. May restauranteurs find inventory stocktaking to be a time-consuming and tedious task but getting it right is essential to addressing the following challenges: 1.Tracking restaurant inventory.

Food 40

How Stocktaking Can Shed Light on Inventory Turnover


An accurate stock take ensures that the inventory turnover ratio is going to be a reliable tool. It is a powerful part of inventory management and allows the business to make smarter decisions on what parts of the inventory stock they should invest in. An accurate stock take can ensure consistency for your business when assessing inventory. Inventory turnover. Rather, it’s your average inventory during this time period. Average inventory.

How To Improve Your Business’ Financial Health with Inventory Management


Since inventory is one of the biggest assets for a company, it’s no wonder that it can impact on a company’s financial health. If inventory is poorly managed, there can be a domino effect on the company’s financial statements. There is always the opportunity for improvement when it comes to inventory management. Analyse your different types of inventory. In many companies, raw materials inventory plays the biggest role in impacting financial health.

Managing the Long Tail–Part 3: How Dart Achieved a 99.6% Service Level


service level with about 20% less inventory. Dart implemented ToolsGroup’s multi-echelon inventory optimization (MEIO) to address the long tail and deal with the integration challenges of combining the two firms. service level with 20-30% less inventory than before,” Goetting says.

Healthcare: A Call For Action

Supply Chain Shaman

In comparison, in consumer products, P&G, Coca-Cola, Wal-Mart and Wegmans have championed many industry value-chain initiatives. However, we can start with inventory management and the tracking of materials in the hospital more efficiently.

Personalization is Paramount – Finding Success in the New Age of Retail

Logistics Viewpoints

Shopping today often includes online product research, comparison price shopping between sites, online customer reviews and more – arming consumers with a wealth of knowledge before they even set foot in a store. Guest Commentary Omni-channel logistics Retail Inventory Management omni-channel retail supply chain supply chainRetail is in the midst of a fundamental shift, thanks to the emergence of the digitally-savvy consumer.

Why Financial Reengineering Does Not Equal Supply Chain Improvement

Supply Chain Shaman

The concept of the Effective Frontier is that best in class companies align functional metrics to balance growth, cost, inventory and Return on Invested Capital (ROIC) performance while balancing customer service metrics.

How To Ensure Best Practice Use Of Your Business Intelligence Dashboards


Working with dynamic sales KPIs, this dashboard makes your business economically efficient by providing clear, logical visualisations of critical inventory stock and sales data. Tracking inventory stock levels, logistics functions and warehouse operations, improving supply chain efficiency with KPIs, inventory control, logistics and warehouse operations in a single display or interface. Business Tips inventory management inventory reporting real-time reporting

Congratulating the Supply Chains to Admire Winners

Supply Chain Shaman

It is now our fifth year of analyzing balance sheets to understand which companies are outperforming their peer groups on the metrics of growth, operating margin, inventory turns and Return on Invested Capital (ROIC) while driving improvement.

Indiana Jones and the supply chain bullwhip effect


A small shift in customer demand essentially cracks the whip, and the further a supplier is from the demand, the more significant the impact, which inevitably leads to increasing swings in inventory for suppliers. For comparison: A commercial jet at takeoff comes in at 140 dBA.

How to Tell if Your Suppliers are Underperforming


Your business is reliant on a supplier to provide you with the necessary inventory stock. If this relationship feels one-sided and like you are always nagging at the supplier to get your inventory stock delivered, then it could be a sign that they are the wrong supplier for you. You can use this information to evaluate how they stack up in comparison to your other suppliers. Business Tips inventory reporting supplier management supplier relationship

How to Increase Profit from Inventory in Multiple Warehouses & Store Locations

Herlitz Inventory Management

There are ways to more easily manage inventory across multiple warehouses and store locations. An Overstock Transfer approach considers all of the inventory on hand in the organization. This not only includes distribution center and warehouses, but also stores in the region with excess inventory. As a result, not all inventory transfers are profitable. Also, the amount of inventory that needs to be replenished could be more than the overstocked quantity.

Supply Chain Diagnostic: A Four-Step Process

Supply Chain Shaman

In Figure 1, we show the aggregate trend of the chemical industry in an orbit chart format showing year-over-year results at the intersection of two metrics operating margin and inventory turns. inventory turns. for inventory turns define best-in-class performance?

Announcing the Supply Chains to Admire for 2019

Supply Chain Shaman

It is not as simple as trading-off inventory, cost, and customer service. In the Supply Chains to Admire analysis, the focus is to understand the relative performance of a company within a peer group of growth, operating margin, inventory turns, and Return on Invested Capital (ROIC). (We

Meeting the Demands of a Multichannel Pricing Strategy


This strategy is particularly effective for clearing the warehouse of surplus inventory stock and with the real-time functionality of an online inventory management system, the sales platform will update immediately when stock has sold out. In comparison, the costs of brick-and-mortar stores are largely dominated by fixed costs. It’s one of the many great ways to get rid of surplus or slow-moving inventory stock. Online inventory management.

Supply Chain Planning BPO: What’s Driving It and Should You Get On Board?


Gartner says that the most common outsourced SCP processes are inventory management, statistical forecasting and service parts planning. Companies moving to BPO in these practice areas are experiencing supply chain improvements in metrics such as inventory turnover and customer service.

Healthcare Supply Chain Software: Features You Need


Software that features customized search, price comparisons, and automatic updates does just that. Inventory Management. Healthcare supply chain management software takes the guess work out of inventory because it is directly tied to ordering. That means inventory is updated in real time to reflect when items are ordered, in stock, or on back-order. Healthcare supply chain management software has the potential to improve efficiency and delivery cost savings.

Top considerations for your Future SC Software Selection

The Supply Chainer Report

Let’s imagine that you have a bunch of softwares in scope but it seems impossible to start your comparison. Most often applied to inventory and supply planning problems. Technology provides capabilities to optimize the operational planning processes of a company.

Bottles, Barrels and the Business of Beverage Distribution

Logistics Bureau

With growing populations and rising disposable income of consumers, changes in the type and the volume of beverages to be made and delivered then affect inventory management and requirements for transportation. Multi-echelon inventory optimisation.

Quick Start Guide to Using Machine Learning for Demand Planning


Gathering the necessary data to formulate an accurate comparison between previous results and those provided by machine learning is an excellent way to establish confidence in your results. Increased inventory turns by 25%.

The New JDA Flowcasting Solution

Supply Chain Nation

These collaborative forecast initiatives had positive impacts on inventories and service levels. The JDA solution supports: Scenario creation and comparison , particularly scenarios that support a proactive restructuring of the supply chain.