Stephen Canning, CEO of JCurve Solutions, has shed light on pivotal inventory trends and prevalent errors that SMEs in Singapore must take into account in this financial year to stay competitive. For more in-depth insights, kindly proceed to the following link.

Summary of Balancing act: cash flow and inventory levels

The article underscores the criticality of maintaining equilibrium between cash flow and inventory volumes for SMEs. 

Key Inventory Trends:

• Accurate real-time reporting: Immediate access to inventory data, including stock quantities, expiry details, and the inventory-to-sales ratio, offers valuable insights that empower businesses to enhance stock turnover and restocking processes, thereby becoming more streamlined and effective.
• Visibility across multiple channels: Ensuring transparency over inventory levels is crucial for a consistent customer experience and a fluid restocking procedure, whether orders are placed online, over the phone, or in person by a sales representative.
• Mobility: There’s an increasing expectation among Singapore’s SMEs to manage inventory via tablets and smartphones, accessing information on supply chain disruptions from anywhere.
• Traceability: Particularly in Singapore’s food industry, there is a heightened demand for traceability. Consumers want to know the origins of a product, its journey, and its authenticity.

Common Mistakes:

• Overstocking and understocking: Holding excess stock can immobilise cash flow and lead to significant financial strain, while insufficient stock can result in lost customers due to unmet demand.
• Lack of precise inventory availability data: This can cause missed sales opportunities for upselling and cross-selling, and may lead to order cancellations if items need to be back-ordered.
• Inefficiencies in picking and packing: Missing items needed to fulfil orders not only waste warehouse space but also reduce operational efficiency.
• Not leveraging cost-saving opportunities with suppliers: SMEs in Singapore often miss out on securing the best prices from suppliers by not buying in bulk for volume discounts.

After pinpointing these common pitfalls, you might be keen to discover how contemporary solutions can mitigate these issues. Delve into the Advantages of Small Business Inventory Software and how it can eliminate the inefficiencies of manual spreadsheets.