Inventory Action Plan
While an organized system for managing inventory is the goal of every company, a sound and feasible action plan is important to start the process of stock management improvement.
Initial steps are as follows:
1. Collect all available information of how your current system is functioning.
2. Decide on which stock management system will work best for your business.
3. Begin the elimination of as much dead stock in your system as you possibly can by implementing specials, trades with other businesses and the establishment of package deals to convert the dead stock into as much capital as possible.
4. Look into ways to reduce or eliminate inventory management costs, including storage fees and redundant fees/ payments being made.
5. Sketch a model for the logistics of your company and detail how you want each checkpoint of the process to function.
6. Perform a forecast of your company’s needs and institute a process that keeps your on-site inventory at a minimum, manageable quantity.
7. Setup a cycle-counting program that could eliminate your annual inventory if applied correctly.
8. Make improvement to your operational efficiency by reducing waste and providing any available edge to answer the challenges of global competition
9. If you have not yet implemented a manageable system of preventing theft and/or spoilage, start one immediately.
10. Lastly, if you have not computerized your stock ordering, stock sales and stock management processes, do so as soon as possible.
The action plan mentioned above will translate to any inventory tracking system, enabling you to manage and improve the action plan you already have in place while providing more immediate and accurate reporting of the developments within your newer and more efficient system.