Stephen Canning, CEO of Jcurve Solutions revealed some of the key inventory trends and common mistakes small businesses should consider this financial year to remain viable. If you would like to read further information, please click on the following link.

Summary of “Balancing act: cashflow and inventory levels”

The article discusses the importance of balancing cashflow and inventory levels for small businesses. Stephen Canning, CEO of JCurve Solutions, highlights key inventory trends and common mistakes that small businesses should be aware of.

Key Inventory Trends:

1. Accurate real-time reporting: Real-time data on inventory, including stock levels, expiry date information, and inventory to sales ratio, provides actionable insights that enable businesses to improve stock turnover and replenishment, making them leaner and more efficient.
2. Visibility across multiple channels: Having visibility across inventory levels ensures a seamless customer experience and a smooth reorder process, regardless of whether orders are made online, via phone, or by a sales rep on the road.
3. Mobility: Small businesses increasingly expect to be able to use tablets and smartphones to access inventory information, including supply chain interruptions, no matter where they are.
4. Traceability: There is a growing demand for traceability, especially in the food industry. Customers want to know about a product’s history, where it came from, how it got here, and whether or not it has been modified.

Common Mistakes:

1. Overstocking and understocking: Overstocking ties up cash and can lead to serious cash flow problems, while understocking risks losing customers by not being able to meet demand.
2. Lack of accurate inventory availability information: This can lead to missed opportunities for sales reps to upsell and cross-sell, and may cause customers to cancel an order if it has to go on back order.
3. Inefficiencies during picking and packing: If an item necessary to complete an order is missing, it uses up warehouse space and is inefficient.
4. Failure to pursue cost-saving opportunities with suppliers: Small businesses often fail to get the best prices from their suppliers by not consolidating their purchases for a volume discount.

After identifying these common mistakes, you might be interested in exploring how modern solutions can counteract these challenges. Learn more about it on How Small Business Inventory Software Stops Spreadsheet Slow-Down.