Planning And Controlling Your Inventory

Inventory is one of the most important assets that most businesses possess as the turnover of inventory represents the primary sources of revenue generation. Proper control and planning of the inventory is crucial for ensuring adequate stock in hand for the amount of sales being generated. Possessing a high amount of inventory for long periods can be detrimental to a business as it runs the risk of losing out on potential sales and potential market as well. Inventory management and strategies can help minimize inventory costs because goods will be created or received as inventory only when needed.

Inventory control involves tracking all parts and materials purchased, products processed and products stored and ready for shipment. Modern inventory management processes are very effective in inventory reduction and minimization. Emphasis is kept on keeping the inventory down so as not to consume too much cash. Most of the inventory control problems arise due to using poor processes, practices and antiquated support systems. A little planning can go a long way in ensuring the inventory is well managed and a business saves on its costs of managing excessive inventory.

There are many methods that can help you accurately judge the customer demand and calculate the inventory you will need to meet your level of customer service. The main processes of inventory control management are as follows:

• Sales and operations planning
• Sales forecasting
• Finished goods inventory deployment planning

Material requirements planning ensure that the inventory is planned and ordered to effect the delivery of materials. Inventory optimization techniques are used to mathematically calculate where the inventory should be deployed to satisfy the predetermined supply chain objectives. Businessmen also resort to physical inventory control to keep a track of the inventory that has been received, its movement, stocking and the overall physical control of inventories.

Inventory represents the second largest expense in businesses and business owners create internal policies and procedures for inventory control and planning. This results in the generation of higher profits for businesses. It limits the amount of obsolete inventory in the company which leads to fewer losses. Inventory policies and procedures also cut down on the employee abuse of inventory. Loose work environments result in stolen inventory which lead to financial losses. It’s important for business owners to consider implementing business technology to help manage the inventory. These days, the access to business and accounting software provides business owners with electronic methods of ordering, receiving, managing and selling inventory which saves on their time and significantly increases their productivity.

McLane Logistics Technology provides customized Inventory Management Software system to efficiently manage the respective inventory of different businesses. For more details visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call us at 1-800-989-7568. 

Inventory Management Software - Inventory Management System

Elements Of Warehouse Management System

A warehouse management system is a group of computer programs which are designed to help a distributor perform warehouse operations efficiently with few errors. It is the key element in a supply chain which makes it much easier to control processes such as shipping, reception, storage, movement and picking of goods. The goal of a warehouse management system is to provide the management with the information it needs to effectively control the movement of materials within a warehouse.

Warehouse management solutions are designed to merge computer hardware, software and peripheral equipment for managing the inventory, space, labor and capital equipment in warehouses and distribution centers. Implementing warehouse management solutions goes a long way in reducing the labor costs, improving customer services and increasing the inventory accuracy. It enables a company to manage inventory in real time and lets the company have the latest information like the current order, shipment, receipt or any movement in between.

There are two key elements of an efficient warehouse management system. The first one is that the warehouse employees use portable computer terminals to record work performed in real time. Any activity performed by an operator is recorded by a computer immediately. One can easily do away with writing the information on a paper or recording it in a computer later. A portable terminal is connected to the host computer. This terminal could be a radio frequency terminal or a device operating over a wireless network. Barcodes are also an important element of warehouse management systems. They reduce the amount of information that has to be entered directly into the terminal. The barcode technology in real time enables the computer to keep track of the work being performed by the operator. It even gives the operator information on the tasks in progress and any errors.

A warehouse management system greatly benefits a company as it provides 99% inventory accuracy which reduces the need for safety stock. Reduction of safety stock leads to more space in the warehouse and a consequent reduction in the inventory holding cost. This increases the inventory turnover and utilization of working capital. There is also a significant reduction in the paperwork which ensures timely and accurate flow of inventory and information. The dependency on warehouse personnel is also minimized and this reduces the training costs and rate of errors. When all processes from order to delivery are streamlined, customer services are enhanced as companies can easily determine the product availability and delivery dates.

To know more about Warehouse Management, visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call them at 1-800-989-7568.

Warehouse Management System - WMS For AX

Warehouse Management For Small Business

Warehouse management brings together inventory control with the advanced IT methodologies, which makes it an indispensable part of logistics. The basic role of a warehouse manager is to ensure that every step and procedure within the warehouse, right from the storage of materials to their movement, is taken care of with precision and expertise. The entire process involved needs to be systemized and documented, which would be impossible to do without a computerized based system dedicated to the purpose.

By using the services of a warehouse management company, small businesses can benefit greatly, as it saves them the hassle of having to monitor the movements of products within the warehouse on their own. The physical warehouse infrastructure, despite being the backbone of any warehouse management system, is the mere basic requirement, with a lot more going into the entire process. This includes tracking systems, handling of material, and the establishment of an efficient communication line between different product stations.

The three basic stages involved in warehouse management are receipt, storage and movement, each of which is equally important in the overall process. The process begins with the supervision, pickup and recording of deliveries to the warehouse. It also includes loading and unloading of materials, as well as inventory control, which is amongst the most essential aspects of warehouse management. Mathematical principles are applied at various stages of the process, to adjust inventory levels, which helps in the effective filling, as well as tracking of different items.

Warehouse management for small business enterprises helps in developing strategies for product placement, by giving a clear insight into the measurements of demand as well as supply. The end result is enhanced logistics efficiency, which helps at each stage of the item life cycle. Warehouse management also helps in determining the best places for storage, depending on whether the products are slow-moving or fast-moving, and also taking into account other factors like whether the product is a risky one.

With a warehouse management system in place for your small business, you shall be able to streamline orders with the help of reorder points created on the basis of average lead time and other aspects like the previous history of demand and supply on a particular product, as well as seasonal surges and dips in demand. The end result will be flawless tracking of items, without any effort whatsoever on your part!

McLane Logistics Technology provides customized Warehouse Management Software solutions to various large as well as medium business firms. For more details visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call at 1-800-989-7568.

Warehouse Management System - WMS For AX

Cross Border Shipping: Need For International Partners

In this era of multinational companies and the existence of customers on a global level, international shipping has become a pre requisite for the supply of orders across national boundaries. International shipping partners can serve this purpose well and help ensure that your delivery process remains uninterrupted and highly efficient. International shipping partners can be selected on the basis of the countries that they are based in and the geographical areas where you wish to supply your products. One significant advantage of choosing several international shipping partners operating locally instead of opting for a single shipping company is the lower costs involved in the process. In case you choose to go in for centralized shipping, a massive infrastructural network will need to be developed along with obtaining of several governmental approvals. On the other hand, when international shipping partners are incorporated in the delivery process, the ease with which transactions can take place leads to better efficiency of operations on a global scale.

As international partners understand the requirements of a local area and that of the resident population therein, companies based far away can gather useful information pertaining to the demand structure and patterns for a product in a particular area. This helps a company serve its customers in a better manner and helps to deliver the products asked for in a timely manner without any kind of delays. The local shipping partners also have the advantage of having a thorough knowledge of the areas where deliveries are meant to take place thus leading to a considerable reduction in the time taken to ensure the transportation of goods to different customers. They also possess knowledge of the legal aspects and other related rules of the areas in which they reside that provides them an advantage over a shipping company that is based far away.

International shipping partners are aware of the import and export related process that are involved to procure goods in their native country that multinational companies may not be aware of. They can thus help formulate the best kind of shipping policy that leads to significant advantages for your organization keeping in mind all such factors.

McLane Logistics Technology provides customized Shipping Management Software system to efficiently manage the respective inventory of different businesses. For more details visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call us at 1-800-989-7568.  

Shipping Management Software - Shipping Management System

What Is Closed Loop Supply Chain Model?

Closed loop supply chain models are different from a forward supply chain model as in the former case, the good meant for sale are not only transferred to the ultimate consumers but are also sourced back for different purposes at a later time. There are several provisions in the case of a closed loop supply chain model that allow companies to acquire the products that they sold earlier and use them for remanufacture or any other profitable activity. This creates a circular supply chain in which materials are recycled and remarketed from time to time.

Most companies practice closed loop supply chain models by incorporating elements like the chance to return products after a 60 day, 90 day or 120 day period or by allowing sales returns. Certain companies also initiate offers of receiving back goods that may have been purchased a significant number of years ago by customers in exchange for new products at a much reduced price. They thus use their existing customers for the generation of possible raw materials that can be reworked into new products.

Although most companies spend a high amount of time, money and energy on forward supply chain models, very little time is spend on closed loop supply chain models as they are generally seen as being less profitable. However, companies must realize that such supply chain models, if implemented and monitored properly can indeed bring huge returns for businesses with a decreased amount of investment in sourcing new raw materials. Close attention should thus be paid on integrating forward moving supply chain activities with backward ones in which products are acquired. There are several stages that form a part of a typical closed loop supply chain model. These are:

1. Informing customers about possible offers under which they can return back products they may once have bought and the means to do so. This will consist of a certain amount of advertizing so as to generate awareness about the possibility of returning items. 
2. Another aspect associated with such models is having a quality inspection team in place to sort through the materials collected from the ultimate consumers. Such a team can classify the useful elements from the useless ones.
3. The company can then formulate different ways of working the collected materials into the production processes to come up with brand new products to be sold to consumers.

For more details about Supply Chain Management, visit McLane Logistics Technology, 4001 Central Pointe Parkway, Temple, TX 76504 or call them at 1-800-989-7568.

Supply Chain Management Software Solutions - Supply Chain Management System

Tips On Choosing A Shipping Agency

Choosing a shipping agency can be a difficult task considering the number of companies that are engaged in the business of shipping cargo to international as well as national locations. Shipping may be of three types i.e. by roadways, by railways and by air. Out of the three, shipping by air tends to cost the maximum but leads to several advantages in terms of speed and efficiency in deliveries. Customers tend to remain happy and satisfied because of the ease with which they are able to receive their orders in record time.

On the other hand, although roadways and railways may take more time than airways, they tend to be more economical and are suitable for companies that are on a budget. There has been a rapid degree of transformation in the way land based shipping companies function in recent years. Shipping companies have become much more efficient, effective and competitive leading to great services.

Certain tips that can help you pick out the right kind of company for your shipping needs have been specified below:

1. The kind of company that you choose must depend on the kind of goods that need to be transferred to the ultimate consumers. If your company is dealing in products that are perishable or tend to go out of fashion or lose their value quickly, it is better to stick to faster shipping methods. 
2. You must conduct a little research about various companies engaged in the shipping business to assess the standing and reputation of a certain company among its clients. This can help you judge the level of performance, degree of efficiency and ethical standards of the company in question. There are several fly-by-night operators functioning in the shipping business that may not be reliable or trustworthy enough to have dealings with. It is best to engage a shipping company that has been in the business for a number of years and is a well-known entity in the market.
3. The packaging methods of the shipping company must also be examined so as to ensure that your goods are transported in a safe manner and are not vulnerable to any kind of damage while in transit.

McLane Logistics Technology provides effective shipping management software solutions for businesses. For more details visit them at 4001 Central Pointe Parkway, Temple, TX 76504. You can also call them at 1-800-989-7568.

Shipping Management Software - Shipping Management System

Common Issues Encountered In Supply Chain Management

Supply chain management forms a vital part of the business processes required to run operations in a smooth manner. Without having the appropriate supply chain management systems in place, there can be a lack of coordination within your company along with a disruption in supplies when they are demanded by customers. An efficient system helps address several needs related to replenishment of stock reserves and also helps ensure that your company is able to sustain the market demand for certain products. This is a very important aspect of supply chain management as a delay in providing supplies can cause your existing customers to shift to the competition in order to fulfill their needs for certain products that they require.

Some of the common issues that you may encounter in supply chain management have been specified below:

1. Loss of goods at several stages of the supply chains is one of the most widespread problems for most companies dealing in the trade of tangible goods. This loss can be due to a variety of factors including pilferage, theft, misplacement, etc. An efficient supply chain management system helps pin point the exact causes of the loss of products so that you can take suitable measures to correct such anomalies in terms of the count of goods that was originally manufactured for supply.
2. Another common problem that many companies face is the huge costs that are associated with manual record keeping of stocks. Several employees may have to be employed by an organization to perform record keeping functions especially in companies that deal in a vast volume of products on a daily basis. In such a case, there is also a chance of human error creeping in as manual counts are maintained by individual employees. Supply chain management software however can help eliminate such problems as it helps bring in automation in counting functions.
3. Companies may also find it difficult to predict the demand for their products in the market and may not know exactly how much quantity to order for sustaining the market demand. Supply chain management software generally contain useful applications that can help make such predictions based on sales data.

For more details about Supply Chain Management visit McLane Logistics Technology, Central Pointe, Parkway, Temple, TX 76504 or call them at 1-800-989-7568.

Supply Chain Management Software - Supply Chain Management Software Solutions