Inventory maintenance is the process of managing and storing all the assets of the company. It basically includes ordering, storing, using the raw materials, components and managing the final products. So everything that the company requires to manufacture their end products is taken care of by having a proper inventory management system.
Inventory management is key for any company as they manage all the inventory of the company. This includes supervising the non capital assets or inventory and the stocks. Inventory management is the component of supply chain management and it supervises the flow of goods from suppliers to manufacturers to warehouses and finally to the point of sale.
All companies hire an inventory management team to manage and supervise their inventory. Their responsibilities include managing the raw materials or goods once they arrive from the suppliers. They need to do a quality and quantity check of the raw materials as the final product depends upon it. Post which they need to ensure these raw materials reaches the manufacturing unit at the correct time and in the correct quantity. Once the product is manufactured they need to be packed and labelled as per the manufacturing date or any other label as per the company’s guidelines. Then they need to be properly dispatched as per the requirement. The entire product flow right from the arrival of raw materials till the final product is delivered is the responsibility of the inventory management team.
Few tips to help them achieve their responsibilities in a better way include :-
1. Stock review — reviewing the received raw materials or stock is their first step and is very crucial.
If the batch received has any defect or is in poor quality the end product will not meet industry standards and the whole batch produced needs to be discarded. Thus a proper quality check of the raw materials is crucial.
2. Labeling — Maintaining a proper labeling system of the batches of both raw materials and the finished product is good practice and helps immensely in case of any issue. Most companies prefer using date time stamps as it is something that is common, easy and cannot be altered.
3. Sorting the products — Most companies use the ABC methodology for sorting their inventory. Category A is used to represent products that are of high quality and minimal in quantity. Examples include medical machines, professional cameras, household appliances. Category B is used to represent products that are of moderate quality and moderate quantities. Examples include mobile phones, laptops. Category C is used to represent products that are of low quality but in large numbers. Examples include toothbrushes, combs, etc.
Following these simple steps helps any company to maintain and manage their inventory in a proper way. Inventory management is key for any company as it is what depends on the productivity and profitability. If the inventory is defective or is faulty the final products are also faulty thus resulting in affecting the productivity. This means the entire time and money spent on manufacturing the final product is wasted. Thus affecting the profitability. But at the same time if inventory is managed well, it ensures smooth flow of products and ensures high growth and sustainability.
Hence the best way to do inventory maintenance and hiring team for it is to involving temp staffing agencies like FeedMyPockets for hassle free hiring and training .