For any business dealing with the storage or distribution of physical products, inventory consulting services can help optimize supply chain operations. They can assist with reducing inventory costs, forecasting demand and helping companies save money by minimizing waste in their warehouses.

In the course of day-to-day logistics inventory optimization consulting , it’s easy for minor inventory issues to go unnoticed until they start to affect overall service levels and impact bottom lines. By tracking the right inventory KPIs, however, businesses can identify and correct these inefficiencies before they have a serious impact on profits.

A common issue with inventory management is stock-outs, which cost businesses $1.1 trillion in lost revenue each year. This can result from a number of factors, including not projecting future consumer demand accurately or having inadequate safety stock levels. Fortunately, inventory consultants can help businesses improve their accuracy by analyzing historical data and recommending changes to workflows and warehouse structures.

Inventory management is complex, and it’s important to find the right balance of procurement processes, warehousing practices, supplier contracts and more. A good way to get started is by finding an inventory consultant who specializes in a specific area, such as warehousing or ERP software. This ensures that you’ll receive specialized expertise and can trust the advice offered.

Fine-Tuning Inventory: Understanding Inventory Consulting

In addition to ensuring proper purchasing and fulfillment processes, an inventory management consulting service can also reduce warehouse costs by optimizing workflows and developing conceptual designs for storage facilities. They can also devise vendor management protocols that guarantee accountability and efficiency throughout the supply chain. Additionally, they can help minimize the need for excess inventory by identifying inefficient reorder points and analyzing supplier lead times.