Managing Stock for Others

The management of stock for your own business should employ a system of precision and reliability so that your financial investment and profit margin are easy to know and improve. Perhaps your company acts as a holding location for inventory that belongs to other companies either by coordinating the delivery of stock items, their storage, or both. Some firms specialize in this practice, and the dispersal and receipt of tracked items are their stock and trade (pardon the pun). In fact, some firms who control their own storage space use this ability to store the goods of others to partially defer or, hopefully completely, offset their own stocking expenses: bring in monthly fees from others that pay for their storage of their own goods.

If you coordinate the accurate storage of others’ materials and thus are responsible for their safe and competent storage, you will need to establish a hub system that establishes a main area/zone that is central to each client. If your storage areas are organized as bays or sections, rooms or shelves, your attention to detail is of utmost importance. Another priceless asset in your tracking policies is a formalized recording and reporting system that is hopefully computerized and which functions by the processes of ins and outs. Clients who have similar items housed with you must rely on your accuracy in keeping things separate. Names and labels that clearly designate your clients are very important so that if in the course of receiving and physical handling of items that they can be easily returned to the client’s designated section(s) if they accidentally were moved during the handling of materials belonging to others.

If you do a monthly formal inventory of your own items, you should perform a similar physical count of clients’ items in the same manner, but on a different date and time. This concentration on precision is something upon which your clients must rely and for which you are completely responsible. For more tips on how to manage stock with accuracy and precision, visit www.simmssoftware.com or email sales@kcsi.ca.