As a manufacturing or warehouse manager, you know firsthand how important inventory accuracy is when it comes to your company’s success. There are few things more frustrating than discovering a major discrepancy between your electronic inventory and the physical products on the shelves, and reconciling that imbalance can cost your team a significant amount of time and money.
Accuracy in manufacturing matters, but how can it be achieved? Today, we’re discussing why accuracy is important and how Acción Performance can help your business make it happen.
Why Accuracy Matters in Manufacturing
Inventory accuracy refers to the discrepancies that take place between electronic records and physical stock. Without adequate accuracy, the entire business is impacted. Inaccurate counts prohibit companies from properly planning or forecasting sales, negatively impact supply chain, cause costs to rise, and often lead to unhappy customers and unproductive employees.
Hurdles in Reaching Inventory Accuracy
Theoretically speaking, your inventory accuracy is on target when an employee can locate the exact product quantity in the specified location on record. When this doesn’t happen, several factors could be at play. Phantom inventory — or products that are recorded as available at a storage location within an inventory management software but aren’t actually present in the warehouse — is a major culprit of inventory inaccuracy and can occur due to replenishment errors, employee theft, imperfect inventory audits, and even incorrect recording of sales.
Many inaccuracies can occur before items even reach your warehouse. Vendors may have shipped the incorrect numbers of goods or failed to include items altogether. Regardless of what’s causing your inventory issues, striving for 100 percent inventory accuracy is the only way to ensure your customers receive what they want, when they want it.
How Acción Performance Can Help
Fortunately, there are solutions to improving your inventory accuracy. Implementing better receipt processes will help catch inaccuracies before products reach the warehouse shelves, and systems like cycle counting help businesses count items within the warehouse without taking the time to count the entire inventory.
While these processes could enhance inventory accuracy, they’ll also take valuable time from your warehouse team. The best way to reach 100 percent inventory accuracy without further burdening your employees or cutting into your bottom line? Let the professionals at Acción Performance help.
We offer our clients fixed-priced solutions by charging a piece rate for units completed, giving your business predictable labor costs, guaranteed productivity, and accountable teamwork. We also offer a 60,000 square foot warehouse, providing flexible, turn-key solutions for concurrent projects of all sizes, including kitting and assembly, shrink wrapping, display build, refurbishing, repacking and reworking, and quality inspection.
Our flexible production facility allows us to accommodate the needs of our partners, while helping y