Logistics and supply chain managers that handle business operations for successful companies understand that precise inventory levels are key to ensuring that each company product contains the right stock levels at the right time. If you are looking for the best logistics provider, visit https://treefroglogistics.com/.
High-level inventory accuracy demands a multi-faceted approach that incorporates operational excellence, the latest IT technology, efficient categorization, clearly outlined procedures and a designated storage area.
Typically, there are a few rules of thumb that a business can follow in order to obtain greater levels of inventory precision. However, enlisting the services of an experienced 3PL who provides maximum stock transparency in a warehouse environment is guaranteed to yield superior results.
Read on to learn ways a 3PL can assist you to achieve inventory accuracy:
1) Robust Technology
Technology plays a vital role in stock accuracy and is known to reduce human errors. Variation in demand, different customer choices, flexibility to customize and globalization has forced companies to produce multiple variants of a single product.
To monitor the movement of each individual product and ensure inventory accuracy, businesses ideally use barcodes and a Warehouse Management System (WMS) as essential tools for a warehouse, however, each solution has a cost impact.
2) Categorise your inventory
Categorization of your stock based on either value or movement greatly assists to identify the important items to focus on and making inventory more accurate and. According to the categorization technique ABC Analysis or (Selective Inventory Control), "20% of the items accounts for 70% of the annual consumption value of the items".