In South Africa, 68% of retail customers lose brand loyalty due to a poor retail experience, a large part of which can be attributed to bad stock management.
One of the best ways in which to improve stock management is to invest in ERP software that can assist with efficient and accurate inventory management. Businesses should also take a closer look at their internal processes in order to better understand their existing methodologies and patterns. Here are four simple ways to improve your stock control process, which can be implemented in an effort to improve customer service and overall customer experiences.
1. Invest in the right software
When you invest in the right software, half the job is already done. The right ERP solution can take a business from zero to hero in a short space of time, and can help perfect the stock control process tenfold. A fully-integrated ERP software solution will give business owners a better view over the company.
2. Go digital and reduce paper-based processes
Are you still managing your stock-taking processes on spreadsheets or paper? It might be time to start transitioning towards a paper-less inventory management system. If your company is managing large amounts of stock, a paper-based process could lead to the following challenges:
- Paper-based processes can lead to a higher number of human errors, resulting in inaccurate data.
- Paper-based processes can lead to unnecessary micro-management and time wastage with documents needing to be checked and re-checked.
- Paper documents can easily be lost, damaged or misplaced.
An ERP system will eliminate the need for paper-based processes through automation, leading to higher productivity rates and reduced time wastage.
3. Management of supplier performance
Another way in which to improve stock control is through the proper management and monitoring of supplier performance and product quality. Whether you have been using the same supplier for years, or have recently signed a contract with someone new, it is important to track their performance to ensure that you are able to offer the best products and services to your customers. ERP software can assist you in monitoring their delivery dates, receipt dates, quantities ordered and delivered, and the condition in which stock was received.
4. Identify the worst performing stock
One of the benefits of an ERP system is that business owners are able to identify the stock that underperforms, as well as identifying why it does not perform well. When it comes to business, space is equal to money and, the more space under-performing stock takes up, the less money a business makes. ERP software allows decision makers to make educated decisions on what stock should be discontinued and what can be replaced in an effort to free up some of the inventory space.
If you’re thinking about your current system, and are concerned about whether or not your stock management process is optimal, consider investing in a reliable ERP solution that won’t let you down.