Too much, Too little, how do you know
Inventory is cash, just in a different form. You have to have some in order to build the products your customers want.
- Do you have too much?
- How much time do you spend checking?
- How soon do you know that you are short on critical items?
- Lead time issues?
Depending on your situation, one or all of these could be challenges. Did you know that there are settings in the Epicor Part file that are there to help you with these questions?
Do you know why companies take a physical Inventory?
A physical inventory is taken for a variety of reasons, including:
- Calculating the cost of sales on a tax form
- Minimize loss and theft
- Get rid of obsolete and out of date inventory
Depending on the size of your company and the types of products and customers, counting your inventory once a year may be okay. If you have not counted your inventory in the past year, perhaps you should! Remember, it was cash.