Tag Archive for: Order Cycle Optimization


Two Expensive Inventory Issues: Which Do You Fix First?

Do you know the root causes of the four common inventory issues: out of stock, overstock, bumpy cash flow, and lost sales? Your goal is to have the right products in the right quantity at the right locations just in time to sell with terms from your supplier that allow you to use your money again before you pay the supplier. No one would argue the success of this strategy, so where is all the grief? In truth, there are four root causes of the most common inventory issues. Unfortunately, many companies fail to identify and act on these root causes, resulting in lost profits in the form of lost sales and higher operating costs.

  • Out of Stocks – Supply Chain Issues
  • Overstocks – Operation Problems
  • Bumpy Cash Flow – Planning & Finance
  • Lost Sales – Customer Service Issues
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