Premium Essay

Website Igration

In: Computers and Technology

Submitted By leaannlavender
Words 1032
Pages 5
Inventory Management

Just Being Frilly- Children’s Clothing Store

Running a small business seems easy enough until you start getting busy. Most small businesses go under within the first year because of the lack of preparation, inventory management, and lack of business model. ¬For any business to succeed you must act as if you are running a major corporation with the model, planning, inventory control, budgeting, and marketing. Although, you might be the sole person responsible for all of these actions, ensuring that all of this is done will help with a successful future for your company.
Controlling inventory does not have to be a complex task. It is a process and thoughtful inventory management. There are no hard and fast rules to abide by, but some extremely useful guidelines to help your thinking about the subject. A five step process has been designed that will help any business bring this potential problem under control to think systematically thorough the process and allow the business to make the most efficient use possible of the resources represented. The final decisions, of course, must be the result of good judgment, and not the product of a mechanical set of formulas.
Five Steps are:
1. Inventory Planning: Knowing what you will need when you will need it.
2. Order schedules: Ordering specific days of the week. This will aid in maximizing shipping costs, and help with the planning.
3. Inventory Levels: Knowing what your threshold levels for minimum and maximum.
4. Existing Inventory: Tracking what is selling and what is not. This helps with buying the right stuff at the right time.
5. Tracking Vendors: Knowing who you order from and discounts that are given for bulk ordering.
With that being said, let’s focus on Inventory management. This area is where you monitor what comes in and goes out for your company.

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