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Tag: Management

Basic inventory control changes that will give you a competitive edge

Trying to compete against companies with larger staffs, advanced equipment, multiple global locations, and (seemingly) unlimited budgets can present quite a challenge for a small to medium-size businesses.

Limited resources combined with slim margins mean that if you operate an business in Ireland, you know the importance of maximising your efficiency and orchestrating tasks with extreme precision in order to prevent staggering losses. Controlling waste, by it product or productivity is of paramount importance for success.

And although managing your customer service, marketing for new client acquisitions, and improving product quality all effect positive business benefits, governing your supply chain through enhanced inventory control provides rapid, measurable results; results that will translate into a heightened competitive advantage and long term victory.

Inventory Reduction

For many manufacturing, distribution, or retail businesses, a significant portion of company net worth is allocated by stock. But, the dependence on high levels of safety stock can have a negative impact on the strategies and company goals you’ve established, simply because your capital is employed in the form of inventory. However, by reducing your stock level amounts, you can liberate needed funds for marketing programmes and other customer acquisition or service plans.

  • Reduction techniques can take shape through a variety of processes, but tracking is the key. Sporadic or inaccurate stock counts create faulty data, which is transferred to the procurement level. Once there, unnecessary Purchase Orders might be issued, wasting money and labour, and possibly inventory through heightened shrinkage risks.
  • You can counteract the inefficiencies generated through faulty inventory counts by introducing bar coded items and specific batch codes for use in conjunction with electronic readers. With superior tracking methods, you can systematically reduce your inventory amounts and stabilise your procurement process.Supplier Agreements.
  • Another effective method for reducing inventory amounts and the holding costs—soft costs—that accumulate daily on stocked goods involves Supplier partnerships and agreements. Typically, consignment programmes offer valuable benefits for both parties, and Just-in-Time replenishment plans are modelled according to lean methodologies that often eliminate the holding charges on warehoused products.
  • Consignment plans allow you to house safety stock for order processing, but ownership isn’t transferred until allocation occurs. Just-in-Time programmes track your stock usage and initiate replenishment POs according to per-determined metrics.Maximise Your Warehouse Space.
  • Inefficient workflows can cause lengthy lead and/or picking times. And although it may seem like that extra 90 seconds spent backtracking to the packaging point, or the additional two minutes spent searching through commingled parts doesn’t make much difference, when you compound those costs hourly, daily, and weekly, your labour wastes rise exponentially.
  • Six Sigma models and other workflow configurations can help you maximise your warehouse space to streamline processing times. Most consultants rely on onsite spaghetti maps and other tools that identify and eliminate problem areas, which hinder seamless throughput.
POS integration
  • Employ technological innovation to boost your business competitive edge. Point of Sale (POS) integration means that replenishment models are designed according to the lean ideal, “Sell one; Make one.”
  • Integrating your POS data with your inventory software helps generate processing information that enhances picking and processing tasks by including customer order/replacement/and shipping information directly on the pick ticket.
Comprehensive Software Integration
  • The most influential method for controlling inventory and improving your supply chain efficiency involves the implementation of a unified planning system. Commonly known as enterprise resource planning (ERP) systems, this type of comprehensive software integration merges all of your inventory, accounting, and customer service programmes into one user-friendly platform.
  • Your sales team, customer service, procurement, and floor operations become a single, cooperative unit through real-time data integration, which helps you maximise company efficiency and will give your company a definitive advantage.

Our Tips for Warehouse Management


Warehouse Management can seem so daunting. Not all improvements involve a lot of effort, so start small!

  1. Be Organised

If your warehouse is not organised, incoming products will not go to the appropriate locations.  Pickers will spend needless amounts of hours trying to find products.  It is essential to establish a system that organises your materials in a logical and defined order.

The best organisation keeps the fastest moving materials front and centre in your warehouse.  You can increase your efficiency by grouping products that are normally ordered in groups. Consider how supermarkets stock products — if you are looking for flour, you do not go to the cleaning aisle.

  1. Reorganise when needed

Really this is a follow on from 1 above.  But is just as important.

What works for your warehouse today may not work six months from now. Re-evaluate your inventory and storage methods periodically to make sure that you maintain the right product flow.  This may mean taking a day out every six months to sit down and assess your product flow.  Do it.  It will save time in the end.

For example, a product that took up a whole aisle last month may now be obsolete.  The product next to it may suddenly be in high demand.  Change the space allocated to your materials when supply and demand changes.  Be flexible.

  1. Think Health and Safety

Maintaining a safe environment is very important to maintaining peace of mind.  You have to meet certain requirements, and protecting your employees from injury is a key goal.  Accidents can cost you the skilled labour you need to keep your warehouse operating.

  1. Keep the homefires lit

Often the modern rectangular shaped shelving can hamper light.  And with warehouses getting bigger and bigger, natural light can also be a problem. But a  brighter warehouse provides not only a safer work environment but also improves your employees’ ability to do their job. Brighter lights also encourages more alertness for what needs to be done.  And helps alert employees to spillages, and problems in the warehouse environment.

  1. Use the right software

Warehouse Management Systems enable you to proactively manage your operations, instead of re-actively. 

Real time reports and alerts notify you of potential problems. 

Effective Enterprise wide decisions such as order sourcing, stock allocation, stock order levels/ sourcing, etc. can only be made through real time and accurate view of stock.


Contact Pimbrook today for further details on how we can help you with your warehouse management.