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Stock / Store
You have to consider how much stock is needed in your company.The ideal situation is that you always have the item in stock / store your customer wants to buy. On the other hand it is also very expensive to have too much in stock.
Obsolete stock in store
Maybe the fashion changes and customers like the colour red but you only have
green in your stock. That is bad luck and your red items in stock are worth
nothing.
80 - 20
A general rule is that 20 % of a business’s products generate 80 % of it’s
income. Try to locate the 80 % of the products and eliminate them from the
product line. This might minimise the need for a large stock.
Just in time
Maybe you could make a deal with your supplier that they only deliver
products when you actually have sold them? This is called just-in-time
management.
- Go to next
business issue: Supplier
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