Question: What is the cost to businesses of carrying stock?
Answer: 25% of the stock value per annum – which is WAY too much.
See how you can save with Barscan from DB Computer Solutions
In an extraordinary economic climate where all businesses are trying to save money, it can be difficult to find new ways in which to reduce costs. So, where do you start? Effectively managing basic processes is one of the best places to begin.
An achievable and above all measureable way to make a difference to your bottom line is to examine how you are managing stock. Look at your business: is it suffering from excess stock or losing out on contracts as a result of your inability to fulfil orders due to possible stock-outs? If so, then it’s time to take a look at your stock management. At either end of the scale, an inability to meet demand means customer dissatisfaction which means lost business opportunities. And in today’s economic climate, that situation could prove disastrous.
Industry figures indicate that carrying stock costs a company 25% of the stocking value per year. Think about that. If your business holds €1 million worth of inventory, it will cost approximately €250,000 annually to maintain it if you were to consider all overheads including insurance, admin and space.
The difficulty of maintaining an adequate amount of stock to meet demand while keeping stock levels to a minimum is a delicate balance. As time passes, you also run the risk of stock becoming obsolete. In certain industries you could run the risk of stock depreciating by up to 90%.
If your existing in-house system cannot facilitate you in optimizing your stock management, then it’s time to make an investment for the future. The right systems can help to maintain an optimum stock level. Companies that successfully put these methods in place can potentially see up to a 30% reduction in stock costs in the first year. How much could that save you? And, as importantly, how do you do it?
Barscan for Accurate Stock Control
Barscan from DB Computer Solutions is the ultimate integrated barcode solution for Sage 50c and Sage 200cloud Professional. With Barscan, users quickly create barcodes, applying them to individual products or product batches. As to the benefits:
- Accurately track stock counts and locations across an unlimited number of items
- Migrate data on the fly, in real time, to Sage 50, Sage 50c, Sage 200, and Sage 200cloud Professional
- Easily scan Goods In thru Goods Despatched
- Easily identify inventory coming to end of life
- Easily identify excess inventory which can be sold-on to generate cash, avoiding unnecessary depreciation
- Speed stock takes
- Gain the data insight to help monitor, and improve, stock quantities on hand
- And save!
Barscan from DB Computer Solutions provides the efficiency businesses need to reduce the cost of carrying stock because users know exactly what they have on hand, where it is, and can better plan by matching inventory to current and future orders.
For more information on Barscan from DB Computer Solutions go to https://www.dbcomp.ie/barscan/ or contact us:
firstname.lastname@example.org 061 480980