5 Ways to Optimize Inventory Management and Improve Fulfillment
Posted on August 13, 2020
Leave a Comment
this is a sponsored post
I have worked in eCommerce for most of my professional career. While I may have never been on the buying and inventory management side of things, I definitely saw my fair share of issues. You see, as someone who does marketing, I rely on accurate inventory management. Inventory management gives me an idea of what products I need to push, what products are new, and what products there is little to no inventory of and of course when products arrive.
In this post, we will look at five ways you can optimize your inventory management and fulfillment processes.
1. Use a management solution with real-time data
One of the simplest ways for eCommerce sellers to have seamless inventory optimization
is by utilizing omnichannel software that provides an accurate overview of inventory during all stages of the supply chain.
What is omnichannel?
Omnichannel is a multichannel marketing approach to sales that provides customers with a seamless shopping experience. Whether they\’re shopping online, from a desktop, mobile device, telephone, email, or in a brick-and-mortar store.
Using programs and/or applications will allow eCommerce sellers to process large volumes of data that are required for forecasting, stock replenishment, planning for peak buying times such as Black Friday, and more. Not to mention, when you work from a central platform you will be able to create unity across the entire company, which will result in sales and marketing teams being on the same page when it comes to inventory changes.
2. Implement automated solutions
Automation tools are a great way to provide real-time feedback and insights for inventory management. With automation tools, reports will automatically register in your database. Orders can be automatically generated based on diminishing stock levels, and more. When you have real-time feedback and data, it makes it easier to make company decisions. Plus, you can forecast the stock needed for upcoming events such as Black Friday based on trends for the year and the previous Black Friday period.
3. Regularly reevaluate supply-chain components
Reevaluating supply-chain components such as logistics and manufacturers is something companies oftentimes will forget about. As an eCommerce company, you want to make sure you\’re always reviewing your internal processes as well as the performance of your suppliers and logistics. Use industry KPIs, competitor research, and your own company performance measurements to evaluate.
When you are regularly evaluating performances you will know where you can make changes, add automation, change companies, and apps you are using and more.
4. Track the whole supply chain
Manufacturers are able to deliver real-time updates, so why not take advantage of that in an automated system? Logistics companies are capable of providing the exact location of stock. While customer delivery services will tell you when your goods have been delivered. The best part of this is you can pinpoint problems as they arise and implement what needs to happen quickly and efficiently, as opposed to waiting until the last minute to figure things out.
5. Get warehouse inefficiencies in order
The warehouse is where it all happens and if it is not running properly, your whole eCommerce company will fail. Make sure you\’re effectively utilizing space, take advantage of discounts from suppliers when you order larger quantities.