Inventory turnover, doesn't it sound a bit like a commercial version of "yo-yo"? Actually, this thing is a magic wand for business operations, which is used to measure how good the inventory can dance.
Let's unveil the mystery of "inventory turnover"! It's like telling you that the intimate relationship between the inventory and cost of the enterprise is like the pearl and milk in milk tea, tacit understanding and sticking together. This ratio actually tells us how flexible the dynamic index of inventory is, and whether it can catch up with the trend.
So, why should you care about this?
Because the high inventory turnover rate is like a business version of the "speed ice car", so that your inventory is not overstocked, your finances are not in a hurry, and the operation of the enterprise can be more relaxed.
Flipping through the "magic book" of inventory turnover, it's not just a cold digital discipline. This rate can not only tell you how efficient your business is, but also reveal the truth about your business performance, like a mirror that allows you to see clearly what needs polish.
If the inventory turnover rate is too low, don't underestimate it, it will be like pinching the neck of the enterprise, affecting cash flow and overshadowing the return on investment. Inventory backlog is like cutting the capital chain with a knife, and you will cut yourself if you are not careful.
Each industry has a different "standard" for inventory turnover, but to improve this thing, we have to have some tricks:
Take control of your inventory:It's like keeping yourself in shape, just in moderation. Each purchasing department should intelligently set the procurement plan according to the sales plan to ensure sales while not letting the inventory bulge belly.
Friendship consignment joint venture:Establish a good relationship with partners and increase the number of consignment or joint operation counters. In this way, there will be less of your own "private goods" in the inventory, and the speed will naturally be faster.
There should be rules for the classification of goods:According to the sales volume, formulate a reasonable inventory of commodity categories, and divide it into three categories: A, B, and C. Class A products are sales "god cars", and the inventory is maintained for 3-7 days, and so on for Class B and C products. In this way, the goods are lined up in an orderly "queue".
Single SKU can't be lazy:Use the WMS warehouse management tool of the warehouse community to set the monthly sales and gross profit margin indicators of buyers, so that they can skillfully use the strategy of small profits and quick sales to increase sales.
The phase-out mechanism must be implemented:If you don't sell well, you have to leave! The products at the bottom of the monthly sales ranking have to be cleared or solved by the best merchants. It's like the rule of "if you don't behave well, you'll be fired".
Don't let the number of SKUs skyrocket:The number of SKUs of the product should be controlled within a certain range, and it should not explode like fireworks. Out-of-season goods or expiration dates must be cleared quickly, so that the goods can easily "unload".
Small quantity multiple order multiple delivery:Don't order a lot at once, the warehouse has to be crowded, take a small number of operations, maintain the first-class merchant delivery standard, and enjoy order discounts.
If you master these tricks well, your inventory turnover rate will be like eating **, easily speeding up, and business operations will be more delicious!