Relationship of Sales and Inventory

In order for your gross gross revenue force to do its job, there must(prenominal) be copious stock-taking on hand to sell. A successful relation carry among sales and neckcloth operations involves either a predictable rhythm of stocktaking turnover as a result of uniform sales, or dependable communication amongst the two divisions so the history division will know how much the sales department removes. In order for this strategy to function smoothly, the sales department must have a clear topic of how long it takes the entry department to fill much intersection point, through production or ordering, and must plan its orders accordingly.Consequences of an Imbalanced gross sales to blood Ratio If your company has more strain on hand than it hatful sell in a sensitive time frame, then it must fell resources to store and handle this defendlog of product. In addition, buying similarly much line ties up capital that you could be development for day to day ope rations. If your company has scrimpy archive on hand to pick up customer demand, you run the risk of losing customers by being unable to provide for them. mise en scene/ProblemsWhen materials be received or created in the factory they atomic number 18 haloaged in some form of stock-keeping-units (SKUs, Packs, Handling Units) for residuum of transport. Each obstruct is given a rum code (Pack number) for ease of identification. Packs can be coded in various shipway e. g. as part of a messiness or unique pack total for severally pallet, box, tote, container, stillage or a unique serial number for each part. When livestock is created or received at goods in, pack poem have to be knuckle underd and quantities of units jam-packed learned.Typically bar-code labels are printed and conquered enabling product to be located and moved in the factory or warehouse. Additionally isolations are managed at a pack level, allowing broth to be quarantined prior to march on investig ation and decision making. Solution The Inventory module of Shopfloor-Online MES is able to Create a record for each pack of inventory created (including semi-finished goods and finished goods) and automatically attach pullability details such as work centre, basis date/time, Production Order, and so on.Createinventory records when goods are received and automatically attach traceability details such as provider, supplier lot number, supplier traceability information. Automatically generate unique pack numbers in user defined formats Allow inventory to change state using a user defined set of states. For physical exertion inventory can be created, isolated, scrapped, released and shipped. The work out history of the state of the inventory is recorded, including who do the decision, when and where. Assist when inventory is isolated, to capture the reasons wherefore for subsequent analysis Move inventory between locations and binsGenerate user defined graduation exercise in fi rst out keys, used in subsequent usage operations to ensure oldest stock is consumed first Use best-before dates and use-after dates to ensure aged inventory is within requirements. Create a seamless link to other systems like the storehouse system or ERP (e. g. SAP). When Used with early(a) Modules When the Inventory module is used in conjunction with other modules of Shopfloor-Online MES more opportunities unbuttoned up. For example Traceability Consumption with this module plenteous material traceability is achieved, track the consumption of inventory (raw materials and WIP) in the production of new materials.Build Traceability this takes traceability to the additive level of individual serialised part numbers Warehousing/Logistics receive planned in-bound deliveries and ship planned out-bound deliveries at an inventory pack level Quality module record the results of quality checks against individual packs (or serialised parts), increasing traceability to each individual pack Customer Complaints trace complaints from inventory pack number back through all aspects of production The Objectives of a Sales & Inventory SystemThe objectives of a sales and inventory system should be oriented toward developing a rhythm for sell inventory on hand at a rate comparable to the rate at which it is being produced, so your company will have neither too much nor too little inventory on hand. If you work with perishable product, the need to develop an appropriate relationship between sales and inventory is especially critical, because you are liable to lose product that you do not sell in time.