Inventory Problems? 5 Best Tips for Inventory Efficiency

Walking into a store with bare shelves or no hamburger buns isn’t pleasant.

Chances are, your customers aren’t going to be pleased. Even more, they may not come back any time soon, and will spread the message to others.

For franchise entrepreneurs, inventory control is preemptive damage control. Not only that, it’s just good business practice, and doing so can help optimize your daily processes and boost operational efficiency.

Here are the 5 Best Tips for Inventory Efficiency:

1. Project Better. Having too little inventory means your customers will be left with nothing to buy; having too much could eat into your capital budget. By better projecting how much inventory you’ll need – through a combination of sales tracking, seasonal factors, and potential for growth – you can best strike that fine line of having enough product without overspending.

2. Organize and Improve Tracking. Mistakes happen – often, inventory can be miscounted and that’s where problems arise. To best ensure this doesn’t happen, invest in an electronic tracking systems using bar-code scanning to eliminate human error, and use analytics to determine your best and worst sellers.

3. Spreadsheets. Crumple up those loose-leaf inventory notes, and invest in taking the time to create a spreadsheet. While Microsoft Excel and Lotus 123 will work fine, Quickbooks or Peachtree also have high-functioning inventory tracking that will help you better organize your inventory tracking.

4. Prioritize. New franchisees may be, at first, overwhelmed by the number of responsibilities they have. That’s why it’s so crucial to prioritize, especially when it comes to inventory control. Most businesses have hot-selling items that make up the majority of the demand from customers; focus on controlling these core areas.

5. Have a Backup Plan. It doesn’t have to be too complicated, but anything could happen. Have a thumb-drive with your inventory on it, in case your files are lost. Have a contact who can get you supplies ASAP, by forming a strong business relationship with them. Whatever you do, just make just your business is prepared when the unexpected hits.

To learn more about entrepreneurship through franchising, attend our free monthly webinar, Franchise Ownership as a More Stable Career Path. The webinar is free, but you need to pre-register, which you can do online by clicking on the linked seminar title.

You may also register by calling 866-246-2884.