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What Is Stock Control And How To Manage It In The Company

What Is Stock Control And How To Manage It In The Company

The business world is very competitive, and each company competes to offer its product with faster service, quality and at the lowest cost. For this, correct management of stock control is necessary since, for example, a break in stock or any other incident can mean the loss of that sale.

What Is Stock Control

Stock or inventory control is part of a company’s logistics and consists of organizing, planning, and controlling the set of merchandise in the warehouse. Therefore, its objective is to guarantee that whenever a client requests a product, we can provide it in the expected time and manner.

But finding this balance between outputs ( sales ) and inputs (orders to suppliers) is not easy. The first is unpredictable and depends exclusively on consumers. Although it depends on us, the second involves regulating the frequency and size of the orders that are made without falling short or going too far.

It would be desirable for the input stream to be similar to the output stream, but this is practically impossible. Therefore, it is necessary to ensure that the level of stocks is sufficient without causing breaks. This management requires an excellent knowledge of the operation of the warehouse and of the business itself. If we can control it correctly, we will be able to offer a quality service to our clients.

Advantages Of Proper Stock Management And Control

Among the many advantages that stock control brings us in a company, the following stand out:

  • Money savings: The expense associated with the merchandise space is reduced since we will have less obsolete merchandise that is not sold and a lower dedication of time and human capital. The effectiveness and efficiency in the warehouse will be felt in our economy with business owners insurance.
  • Better customer service: A well-functioning warehouse can handle all incoming orders quickly and efficiently. This makes us more competitive and generates a more significant number of sales in the medium term.
  • Reduced warehouse costs: If the products are better distributed and the space is optimized and avoid losses or damage, the price will be much lower. 
  • More excellent sales: If you offer a quality service to your clients and are always prepared to make the sale, we will be able to sell more.
  • Reduction of administrative tasks: Warehouse inventories and other associated tasks are time-consuming. However, proper warehouse management reduces the workload.
  • Increased cash flow: We need to sell our product in the shortest time possible to recover the money we invested in your suppliers. If we can balance sales and spending, we will have greater liquidity.

As we have seen, stock control management directly impacts the operation of our company and its profitability. It is essential to consider and put the necessary means, such as the appropriate digital tools, to ensure that everything works correctly. In this way, your management will be much more efficient, reduce errors, and have greater control over your business.

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