6 Ways to Maintain Warehouse Inventory Management
In our latest blog, we showed how to take control of your warehouse processes. Today, we’re taking it a step further by revealing 6 actionable ways to maintain ongoing Warehouse Inventory Management accuracy within your warehouse facility.
Improve your supply chain with these 6 inventory management tips:
1. Daily Cycle Counting
To maintain inventory accuracy, most modern warehouses perform daily cycle counting, one of the most efficient inventory auditing procedures. This method involves identifying the counting frequency of different locations within the warehouse for a specified period. For example, “monthly” counting is set for active pick locations, and “semi-annual” counting is positioned for reserve storage locations.
Based on these predefined rules, cycle count tasks can be triggered to satisfy the overall requirements of Warehouse Inventory Management over time. Due to its constant frequency, daily cycle counting helps warehouses maintain a high level of day-to-day accuracy. In fact, many operations can opt out of the dreaded annual Physical Inventory due to practicing daily cycle counting.
2. Shortage Analysis
To observe picking and fulfillment shortages, your warehouse should have a set system in place. Once implemented, it can be used to analyze trends and patterns of variations dealing with users, suppliers, or processes. These variations can account for inventory discrepancies you may be experiencing.
3. Adjustment Review
Another way to maintain inventory accuracy is to establish a review process for inventory adjustments. With warehouse metrics and reporting, you can tighten down on adjustment transactions and uncover opportunities to regain inventory accuracy. Additionally, you may discover other unforeseen nuances such as concealed shortages in picking locations or issues dealing with associate training.
4. Limit Access to Critical Data
In many systems, inventory inaccuracies commonly result from the Warehouse Inventory Management of critical product information such as:
Product weight and dimension
In modern warehouses, these metrics are critical to several core processes, including Put-Away and Order Cubing. As a result, qualified users should always protect and update the item master data.
Additionally, most Warehouse Management Systems (WMS) feature the option to ‘flag’ any new items pending arrival. Before allowing the inventory to be stored, the item receipt prompts the system to confirm critical dimensions.
Serial Numbers
Due to warranty considerations, managing the serial number from Inbound Receiving to Outbound Shipping is critical for customer satisfaction. For this reason, use the WMS to maintain the Serial Number integrity throughout the processes, including during validation in cycle counting. From there, develop reports to identify any anomalies. Then, create edits on the Receiving and Electronic Data Interchange (EDI) to search for invalid serial number formats or duplicates.
Lot#/Expiry Dates
Maintain integrity in the storage and handling processes by carefully managing the Lot Number and Expiry Dates throughout receiving, storage, allocation, and fulfillment.
5. Inbound Product Audits
By performing product audits at receiving, warehouses can ensure incoming products meet expectations. Fortunately, most modern Warehouse Inventory Management solutions allow for the system to flag the vendor for quality checks.
Set Compliance Standards
To set rules and standards, measure the results from the audits, track the performance, and provide helpful and honest feedback.
6. Outbound Shipment Audits
As with Inbound Audits, most modern WMS support a process where the vendors are flagged for quality checks during outbound shipment. During the process, you can inspect paperwork, shipping labels, carton size selection, taping, and more.
To run a successful warehouse, organizations must find simple, actionable ways to maintain inventory management before it’s too late. Using the above 6 tips, you can revisit your operations and refine them to achieve an accurate warehouse inventory over time.
Are you looking to get started? Connect with Katalyst Software Services Limited to power on your WMS, or for any of your other supply chain and logistics needs!
