123ArticleOnline Logo
Welcome to 123ArticleOnline.com!
ALL >> Hardware-Software >> View Article

Is Your Inventory Valued As ‘cash’ In Your Warehouse?

Profile Picture
By Author: BiCXO
Total Articles: 9
Comment this article
Facebook ShareTwitter ShareGoogle+ ShareTwitter Share

Treating inventory as ‘CASH’ is crucial for SMEs. About 20% of stock is often overlooked, leading to non-moving or damaged goods. This oversight inflates profits on sheets, not in the bank. Shifting perspective transforms handling — vigilance, daily counts, and prevention of obsolescence.

To keep inventory liquid, maintain optimal levels, preventing excess. Unfortunately, many lack a strategy, resulting in millions blocked in surplus stock.

There are two main reasons contribute to funds being locked in inventory:

Ignorance of Ideal Inventory: SMEs suffer from excess inventory, unaware of the ideal quantity. Calculating the ‘ideal inventory’ involves determining the Expected Delivery Time (EDT) and Total Lead Time (TLT). Engage consultants and use business intelligence tools for accurate computations.
Overproduction: Organizations often produce more than they can sell, relying on outdated sales projections. Monthly reviews, early warning systems, and analytics solutions aligned with actual sales trends can prevent excessive production and procurement.
Addressing these issues ensures millions locked in inventory can be released and boost the bottom line. Stay tuned for more insights in my next blog.

To read the detailed article visit: https://bicxo.co/blog/inventory-is-cash-in-your-godown-are-you-treating-it-as-one/

To know more click here: https://bicxo.co/

Total Views: 45Word Count: 180See All articles From Author

Add Comment

Hardware/Software Articles

1. The Development And Potential Of Humanoid Robots
Author: Domain World

2. The Impact Of Odoo Erp Service In Qatar :empowering Qatari Businesses
Author: Odoo solution

3. Maximizing Efficiency With Cloud-based Inventory Management Software
Author: nagaraj

4. Skin & Hair Clinic In Gujarat Unveiling The Best Skin & Hair Care Experts In Gujarat
Author: Priya Skin Clinic

5. What Is Compliance Management Software And How Does It Fit Into Grc?
Author: nagaraj

6. 3d Printer Filaments: Choosing The Perfect Material For Your Creations
Author: Protomont technologies

7. Free Face Swap Fototweak - Ai Photo Enhancer
Author: fototweak

8. Why Should Businesses Invest In E-invoicing Software?
Author: nagaraj

9. Why Choose Cloud Erp Software For Your Business?
Author: nagaraj

10. The Synergy Of Healthcare Professionals And Ai: Pioneering Patient-centric Care In The Digital Age
Author: Jaldee Health

11. Elevating Your Online Presence: Web Development Services By A Leading Agency
Author: abuhayan

12. Why Choose Cloud-based Inventory Management Software?
Author: nagaraj

13. Cruise Module
Author: kitty litter

14. Understanding The Applications Of Dental 3d Printers In The Dental Industry
Author: Protomont technologies

15. What Makes Request For Quotation Software Essential For Your Business?
Author: nagaraj

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: