Tuesday, September 23, 2008

#4 Inventory Management- Obsolete Stocks

Quantity of obsolete stocks could be controlled or managed via:

1) emphasizing quality checked on stocks received and returned the goods to suppliers by adhereing to quality policy of the Company
2) order minimal amount of stocks based on sales forecast, rather than purchasing a huge sum of stocks on hand.

We want to emphasize on point 1 that, company should have a clear inventory checking policy and forming a culture of adhering stocks' quality policy. Damanged stocks/ faded stocks have to be returned to suppliers immediately. Besides that, SME entrepreneur should communicate the policy to suppliers, in order to acknowlege the suppliers in respect of the quality policy of the Companies

No comments: