You're struggling with supply chain disruptions. How can you optimize inventory turnover?

Here are a few steps I took while working with a 3PL to maximize revenue by improving inventory turnover: 1. Accurate data and well-defined KPIs are essential for making quick, data-driven decisions during negotiations. 2. Monitoring honeycomb or vacuum space in the warehouse is crucial, as space equals money. 3. We built a dashboard to assess inventory turns and perform honeycomb analysis by customer type (e.g., pallets, cartons, pieces). Pallet customers received incentives as they deplete entire pallet positions, allowing for resale. 4. We also priced customers based on seasonal behavior and other characteristics, enhancing efficiency and profitability.

Optimizing inventory turnover amid supply chain disruptions requires a precise assessment of demand. In an Inventory Optimization Project, we applied demand forecasting techniques using historical sales data & predictive analytics. By leveraging the ABC analysis method, we categorized inventory items based on their importance & turnover rates. This allowed us to prioritize high-demand items & adjust reorder levels accordingly. Continuous monitoring, adjustment of inventory policies ensured that we maintained optimal stock levels, reducing excess inventory & minimizing stockouts. This approach improved inventory turnover, even during unpredictable supply chain disruptions, by aligning inventory levels more closely with actual demand patterns

Cette approche permet de répondre ainsi aux attentes des clients et minimisant les coûts liés au stockage excessif. L'utilisation d'outils SaaS, comme les logiciels de gestion des stocks et les analyses prédictives, peut renforcer cette stratégie en offrant des prévisions plus précises et des ajustements plus rapides.

This is where I would focus on communicating with sales staff about putting more focus on stock that aren't having as many supplier issues. Offer customers special terms when making substitutes instead of offering discounts.

Pour améliorer la rotation des stocks, il est crucial de rationaliser les unités de gestion des stocks (UGS). Une offre trop diversifiée peut entraîner une gestion complexe et des prévisions moins précises. En se concentrant sur les produits les plus performants, non seulement la gestion des stocks devient plus efficace, mais cela permet également d'éliminer les articles moins populaires qui alourdissent inutilement l'inventaire. Cela conduit à une simplification qui facilite les opérations et réduit les coûts.

In my opinion, the issue is not that there too many sku's. In fact, at EALgreen we have over 1.5 million sku's in our item master. The key to managing a large number of sku's is the ability to apply additional attributes such as "condition" to your inventory. In the world of reverse logistics, for example, the same sku can have up to 3 different conditions depending on what has taken place in the item's lifecycle. Having "condition" data is critical to supply chain decisions as we aim to move closer to a circular economy, minimize waste, and optimize profits.

Amen Data driven decisions are King! We are helping enhance that with discardable ble tokens for automated inventory management of the physical assets converted to digitally represented assets Good post Claudia ! Thanks

Selecting a strong ERP product is the first step in a successful use of technology to enhance any business. Our digital transformation journey at EALgreen, a 42 year-old non-profit organization that converts surplus inventory into college scholarships for students with financial need, has been designed around the implementation of NetSuite WDS (Wholesale Distribution Standard) Cloud Service platform. At EALgreen we believe that innovative solutions can only come from better data, and the social impact sector is no exception.

According to the National Retail Federation "retail sales will increase in 2024 between 2.5% and 3.5% to between $5.23 trillion and $5.28 trillion. This compares with last year's 3.6% annual sales growth of $5.1 trillion" (excluding automobiles, gas stations and restaurants). With this impressive forecast in economic activity, and ever increasing complexity of supply chains, it is unwise to have a "set it and forget it" approach to running any business. Continuous improvement, also known as Kaizen (Japanese word for "improvement"), speaks to the critical importance of reviewing business activities on an ongoing basis as well as the need to engage the entire organization, from CEO to frontline workers to develop an improvement plan.