Tips

Stocktake – A Practical Guide to Inventory Counts

A stocktake is the act of counting and recording the quantities of goods in stock to compare the results with available inventory data and find discrepancies. It is a crucial part of any business that holds inventory and that is why the process of performing a stocktake needs to be rigorously organized.

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Inventory Costs – A Quick Overview

Inventory costs make up a substantial part of any manufacturing or distributing company’s total expenses. To ensure the good financial health of your business, it is necessary to know how to make sense of these expenses and how to balance them.

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What Is Agile Manufacturing?

Agile manufacturing is an approach to manufacturing that aims to increase product quality and service while reducing cost by implementing feedback-based design, planning, and production practices. Digital technology is at the heart of this modern manufacturing methodology.

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What Is Cycle Inventory and How to Manage It?

Cycle inventory is the stock that is used to respond to regular sales and demand forecasts, as opposed to the safety stock used when there are fluctuations in demand or supply. Properly managing cycle stock is therefore a crucial part of any well-functioning business.

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The Bullwhip Effect and How to Manage It

The bullwhip effect is a supply chain phenomenon related to sudden changes in demand signals, when a slight movement in demand can cause large swings throughout the supply chain. To avoid a destructive “whip crack” at the end, companies need to be prepared to mitigate the effect.

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What Is Lot Tracking and How to Use It?

Lot tracking, also known as batch tracking, is an important process for ensuring quality, most commonly for traceability and recall purposes. It is a crucial part of doing business in highly regulated industries, but it has its advantages regardless of the product.

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What Is Vendor-Managed Inventory (VMI) and How to Use It?

Vendor-managed inventory is a supply chain management method wherein a supplier is responsible for replenishing the inventory of the buying company. This approach can lead to better inventory optimization, reduced costs, and stronger relationships between companies.

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What Is Batch Production?

Batch production is a manufacturing process in which groups or “batches” of identical products go through production steps all together. This reduces cycle times per product and enables goods to be manufactured flexibly in large quantities.

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Vendor Management – An Essential Guide for SMEs

Vendor management is a set of tools that companies use to ensure profitable and efficient relationships with their suppliers. Coming a long way from traditional phone calls, faxes, and emails, today even small businesses have started to utilize software to manage their communication with vendors.

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Advantages and Disadvantages of Using an MRP System

Even though MRP systems are quickly becoming the norm even among SMEs, manufacturers need to be aware of their advantages and disadvantages before deciding to implement new software. Apart from the general benefits and downsides that can be applied to most MRP systems, there are also aspects that can drastically vary from provider to provider.

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Inventory Tracking – An Essential Guide For SMEs

Inventory tracking means monitoring stock movements to increase visibility in the company’s supply chain. This added transparency helps businesses improve their ordering and overall inventory management practices, ensure traceability, and make sure that goods reach the production floor and the customer at the right time.

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What Is Job Costing and How to Do It?

Job costing means tracking the costs related to individual orders. This allows accounting to measure the profitability of each project separately and to use it as a basis for customer quotes and financial planning.

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