Stock Control Software for Seven Stock Control Methodologies | OptiProERP

1. Stock Control So?ware for Seven Stock Control Methodologies Every manufacturer endeavors to protect its company from ge?ng affected by the fluctua?ng demand of customers. Maintaining the right quan?ty of stock in the warehouse can help businesses improve sales, prompt delivery and fulfill the order on ?me.

2. STOCK CONTROL METHODOLOGIES Just-in-?me FIFO (First in First OUT) ABC Control Two-bin inventory control system Three-bin system Set the stock level Order-cycling system 1. 2. 3. 4. 5. 6. 7.

3. Just-in-?me Just-in-?me is a stock control methodology that focuses on elimina?ng the unnecessary storage cost by acquiring goods from suppliers a few hours before it is required. And in case the demand is more, manufacturers make sure to raise the inventory for order fulfillment. Reduces inventory management cost Requires minimum space store goods Smaller investments in the stock

4. FIFO – First-In-First-Out First-in-first-out, as the name suggests, goods that are procured first have to be shipped first. In other words, the oldest inventory items are sold first. This method is used in industries dealing with perishable goods. Example: packaged consumable products. In discrete manufacturing, FIFO methodology is used to avoid product obsolescence.

5. ABC Control ABC Control or selective inventory control is an inventory method in which inventory items are classified in different groups, as per its value. Category A: This includes the most valued goods in the company which contributes approx. 80% of sales. Category B: Less valued or moderate valued products. Category C: Low valued inventory items. These products contribute the least to the company.

6. Two-bin inventory control system In this methodology, there are 2 bins that are loaded with goods for delivery. When bin A is ac?ve and is used to deliver goods, the la?er bin stocks the remaining items. When the stock in bin A emp?es, bin B becomes ac?ve and is used to fulfill the customer orders.

7. Three-bin system It’s a system in which inventory is divided into three bins where the first two bins store the majority of running stock and the last one comprises the safety stock. This inventory management method is typically used for low valued stock

8. Set the stock level This method focuses on “Be prepared for the worst and an?cipate the best” policy. Manufacturers should set the minimum and maximum level in the inventory and refill the stock ?mely to avoid overstock or understock.

9. Order cycling system Let’s you check your inventory at regular intervals and reorder products which are likely to be run out in the next cycle. If the manufacturer fails to set the reorder, then stockout situa?on can arise.

10. Op?ProERP for Manufacturers At OptiProERP, we endeavor to maintain your inventory stock optimally by offering accurate, real-time inventory information. With comprehensive inventory control features and tools, we ensure that you never run out of stock or are concerned about overstocking. Find out more by reading our blog “7 Stock Control Methodologies Manufacturers Should Practice.”