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6 reasons why stock control is important

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6 reasons why stock control is important

A massive 43% of small businesses in the US don’t track their inventory or use a manual system.

(Waspbarcode report, 2022)

Failing to track inventory can lead to stockouts and delays in order fulfilment. Meanwhile, manual tracking is time-consuming and resource-intensive.
Revamping your stock control system isn’t just a suggestion; it’s a strategic necessity. It’s about staying ahead in a competitive market, streamlining operations, and boosting profits. If you still need to upgrade, now’s the time.

 

The importance of stock control for business success

Stock control is a fundamental aspect of any business, regardless of size or industry. Effective inventory management is essential for the smooth running of operations.
Stock control directly impacts business success through operations, customer satisfaction, and profitability.
In this article, we will delve into the top six reasons why effective stock control is essential for the success of your business.

 

Increased efficiency and cost savings

Efficient stock control helps businesses balance inventory levels to meet customer demands without holding too much excess stock.
Tracking product flow helps businesses forecast demand and make informed decisions on stock replenishment.
This leads to increased efficiency in operations, reduced carrying costs, and, ultimately, significant cost savings.

Furthermore, implementing efficient stock control systems and processes helps businesses avoid stock obsolescence and wastage.
Monitoring stock levels and identifying slow-moving or obsolete items can prevent business financial losses by proactively liquidating such stock.

 

Customer satisfaction and retention

Stock control plays a vital role in ensuring customer satisfaction and retention. Having the right products available avoids delays and backorders in fulfilling operations promptly. This enhances customer experience, builds trust, and increases the likelihood of repeat purchases.

On the other hand, poor stock control can lead to stockouts, where customers need help finding the desired products. This can result in frustration, dissatisfaction, and even the loss of customers to competitors. Businesses can consistently meet customer demands by effectively managing stock levels fostering loyalty and long-term relationships.

The same applies to service businesses. Having a readily available supply of stock to carry out the service is essential for tasks to be completed within the expected time frame. Preventing situations where the stock has run out, halting the service.

Effective forecasting and inventory management

Accurate stock control enables businesses to forecast demand more effectively and manage their inventory accordingly.
Companies can predict future demand and adjust stock levels by analysing historical data, market trends, and seasonal fluctuations.
This optimises stock levels to prevent stockouts or overstocking.

Additionally, effective inventory management allows businesses to identify fast-moving items and prioritise their procurement. This prevents inventory imbalances and ensures that popular products are always in stock, increasing sales and customer satisfaction.

Minimising stockouts and overstocking

Stockouts and overstocking can have detrimental effects on business operations and profitability. Stockouts lead to missed sales opportunities, dissatisfied customers, and potential damage to a company’s reputation. Conversely, overstocking ties up valuable capital incurs storage costs, and increases the risk of stock obsolescence.

By implementing effective stock control measures, businesses can strike the right balance between supply and demand. They can avoid stockouts by accurately forecasting demand and ensuring timely replenishment. Similarly, they can minimise overstocking by monitoring inventory levels, identifying slow-moving items, and adjusting procurement accordingly. This helps maintain a healthy cash flow, reduces storage costs, and maximises profitability.

Streamlining operations and improving productivity

Efficient stock control contributes to streamlining business operations and improving overall productivity.
Businesses can optimise their warehousing and distribution processes by clearly understanding stock levels. This includes efficient space utilisation, organised stock picking and packing, and streamlined logistics operations.

Just in time advantages

Effective stock control allows for JIT (just in time) inventory management, reducing storage space and carrying costs. JIT inventory management delivers stock only when needed, freeing up resources for other activities.

Compliance with regulations and avoiding penalties

Many industries require businesses to comply with specific regulations and standards for stock control.
This includes maintaining accurate records, implementing tracking systems, and ensuring proper storage conditions for specific products. See COSHH standards for storing and handling cleaning product waste.
Failing to comply with these regulations can result in penalties, legal consequences, and damage to a company’s reputation.

Types of stock control systems

Technology plays a crucial role in enabling effective stock control.

Automated inventory management systems, barcode scanners, and stock control software streamline the tracking and monitoring of stock levels. These technologies provide real-time visibility into inventory, facilitate accurate stock counting, and automate stock replenishment processes.

Moreover, technology allows businesses to integrate their stock control systems with other departments, such as sales and procurement, ensuring seamless coordination and information sharing. This improves operational efficiency, reduces manual errors, and enhances decision-making capabilities.

Stock control software for small business

Stock control systems needn’t only be used for large companies with separate departments. Small businesses will benefit mainly from having the ease and support of relying on a system that helps bridge the communication between stocking and ordering products.

Stock control examples

 

Multi Lingual Online Portal

Stock ordering and requesting for cleaning companies

For cleaning companies, stock control is crucial due to the nature of their operations. Cleaning supplies, such as detergents, disinfectants, and equipment, are essential for their day-to-day activities.

Stock control is crucial for cleaning companies to meet client demands without running out of supplies.
Cleaning companies can streamline stock ordering processes using online portals like Docflite’s Cleaning Stock Request Portal.
By leveraging such technology, cleaning companies can enhance their stock control practices, improve efficiency, and ensure uninterrupted service delivery.

Benefits of using DocFlite Stock Request Portal

Maximise efficiency and streamline your cleaning company’s operations with DocFlite’s cutting-edge stock request portal. Our platform offers:

Centralised Request Management

DocFlite’s platform offers a centralised hub where all stock requests are managed. Eliminating confusion and streamlining the process for efficient stock replenishment.

Real-Time Updates

Stay in the loop with live notifications and new requests. Ensuring quick responses and timely stock replenishment to keep your operations running smoothly.

User-Friendly Interface

Our intuitive interface is designed for simplicity. Regardless of technical proficiency, all staff members can easily navigate and utilise the system without extensive training.

Customisable Categories

Tailor the platform to fit your organisational structure by creating custom categories for your stock items. Making it more accessible to categorise and manage inventory effectively.

Detailed Reporting

Gain valuable insights into stock usage patterns with comprehensive reporting features. It helps you make informed decisions and optimise stock management for efficiency and cost savings.

 

Efficient Stock Request Portall

Summary- 6 reasons why stock control is important

Effective stock control is a critical factor for the success of any business. It enables enterprises to increase efficiency, reduce costs, enhance customer satisfaction, and streamline operations.

By implementing robust stock control systems, companies can optimise their inventory levels, forecast demand accurately, minimise stockouts and overstocking, and comply with regulations.

Technology enables effective stock control, provides real-time visibility, and automates processes.
For cleaning companies, efficient stock control is essential to ensure uninterrupted service delivery.
Cleaning companies can use Docflite’s Cleaning Stock Request Portal to streamline stock ordering and improve efficiency.

Check out the product: Cleaning Stock Request Portal

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