After receiving a notification about an item being out of stock, most consumers may simply choose to visit a competitor’s website instead. Some retailers tackle this issue by using backorders, where an item that is currently unavailable but still in production, is promised to be shipped within a specified timeframe. [...]

ABC analysis is a method in inventory management aimed at assessing the significance of inventory items to a business. It involves evaluating items based on factors such as demand, cost, and risk data, after which inventory managers classify them into different categories. This classification aids business leaders in understanding the [...]

Investing in yard management and a logistics network is a significant commitment for businesses and a crucial factor in gaining a competitive edge. Recent years have shown considerable fluctuations in demand and supply, highlighting the necessity for precise real-time coordination of all logistical processes to optimize service levels and asset [...]

‘Days sales in inventory’, alternatively referred to as “days in inventory (DII)”, “days in inventory outstanding (DIO)”, or “inventory days of supply”, serves as a measure indicating the number of days a business maintains its inventory based on sales value. A common misunderstanding is associating ‘days sales in inventory’ solely [...]

Cycle count vs physical count is a comparative analysis of two methods of counting inventory, and how and when they should be implemented. Precise inventory data plays a pivotal role in the success of a business as it directly impacts various aspects ranging from customer satisfaction to financial management. Inaccurate [...]

Reverse logistics refers to the reverse of the conventional flow in the supply chain, where products are transported from the end consumer back to the manufacturer. This facet of supply chain management encompasses various activities such as managing returns, refurbishing, recycling, and disposal. It plays a crucial role in handling [...]

30/01/2024 In the realm of business, it’s a reality that not every product will experience swift sales. This is an inherent cost that every business must accept. When a company faces a situation where its inventory fails to sell and loses all market value for various reasons, it is required [...]

23/11/2023 For businesses dealing with physical products, the recorded inventory often exceeds the actual on-hand inventory due to various reasons, collectively known as shrinkage. This discrepancy, whether caused by theft, fraud, manufacturing or shipping errors, spoilage, or other unfavorable factors, can lead to financial losses. Shrinkage not only impacts a [...]

23/11/2023 Freight shipping serves as a method for businesses to move bulk shipments that go beyond the weight and size limitations of parcel packages. Typically, this type of cargo is packaged and transported on pallets. What is Freight?r The term “freight” can be used to refer to any cargo requiring [...]

08/11/2023 Managing inventory poses a significant challenge for businesses with warehouses. As the quantity of items in storage increases, the task of monitoring them without the aid of an inventory list becomes increasingly difficult. Such a list not only helps in keeping tabs on possessions but also offers valuable insights [...]