What manager has not dreamed of a sophisticated system for a better management of in-store inventories?
The challenges of in-store inventory management
Most often, it is the visibility of inventories which is the problem. Without automated in-store inventory management, it is impossible to know exactly what’s in stock.
This inaccuracy results in either a lack or excess of current or even obsolete inventory. Many may believe that having an excess of inventory is more desirable than having a lack of one, however this is false. In the first case, stock is not being used and in the second case, the quality of customer service is affected. In both of these cases, profitability and working capital are negatively impacted.