Inventory Management

Managing inventory requires that you purchase according to a plan. The challenge is to stock only as much inventory as you need and to
"turn it over" as rapidly as possible so that you recover some of that tied-up capital. The faster the capital is returned to you, the
sooner you'll be able to reinvest that money into more goods-again and again.

Implicit in this principle is the concept of stock turnover, often simply called stock turn. Simply put, an inventory manager needs to
maintain sufficient inventory to meet 100% of the needs in the manufacturing process and 80-99% of the needs at retail.

Inventory management also implies the added responsibility of making markdowns minimal. Great inventory management prevents stale
merchandise, lower markdowns, higher merchandise turnover, and maximized profits from your inventory investment.

Topics

In this session participants will learn:

How to develop a buy-plan, monitor it, and make sensible adjustments when needed
Key formulas, including turn, weeks-of-supply, sell-through, carrying costs, you true profit from an item, and more
How to apply formulas for max results
How to determine the “health” of your merchandise
What inventory planning method is best for you and your products

If you are frustrated by having too much of the wrong merchandise, too little of the popular merchandise, or a merchandise mix that has
grown stale; this is the perfect session for you and your leadership team.

Inventory Management
Adding Profits through Reduced Costs