7 Common Inventory Management Mistakes and How to Avoid Them

Inventories are one of the essential components in retail and wholesale businesses. Poor inventory management generally leads to stock-outs, shipment delays, customer dissatisfaction and eventually financial loss. The U.S. Census Bureau says that manufacturers, retailers and merchant wholesalers carried more than $1.9 trillion in inventory in June 2018 and experts say that 90 percent of the inventory remains stationary and only about 10 percent of a company’s inventory is actually in transit. This is why inventory management is crucial for any business.

Apart from implementing best practices, a few measures can be taken to avoid huge inventory losses. These tips will prove effective in the long run and be useful if implemented in the right way. Therefore, here are seven common mistakes made by retailers and wholesalers regarding order management and how they can be avoided.

  • Conducting inventory counts once a year

Performing inventory counts once a year isn’t a good practice. Also, having yearly inventory counts can consume a lot of time to check on your stock items. One of the most effective ways to keep a track on your resources is by performing periodic checks on inventories.

This means instead of doing a physical count regularly; you can try ‘cycle counting management’ which requires you to count a small portion of your inventory. You can compare it as you go to what is listed previously within your system database. This can be performed every month until everything is eventually covered and recorded correctly.

Keeping a regular check on the number of recorded items in your database and the available items helps you determine what’s selling and what’s not!

  • Holding unnecessary inventories

Sometimes holding too much inventory can definitely act as a disadvantage to your business. Small businesses have fluctuations, and when consumer demand recedes, the value of the products reduces consequently. You would also require more staff to manage your inventories, which will burn holes in your pockets.

To maintain the right amount of inventory required for your business, all you need to do is forecast your inventory needs. Find out how many stocks are necessary for your store or warehouse by regular analysis and reviewing the inventory reports subsequently.

  • Using manual techniques

Inventory tracking can be very time consuming, labor-intensive and costly when done manually. Paper records or excel spreadsheets are very vulnerable to errors and losses. If you keep a large inventory in multiple warehouses and stores, all you need to do is invest in eCommerce Inventory Management software. It will help you track your inventory levels, figure out inventory values. This automated system also generates accurate, in-depth reports to forecast inventory needs and manage your supplier data through one system.

  • Keeping your storage space unorganized

Storing supplies carelessly will not only prevent your business from achieving higher efficiency but also slows down the process of picking and packing, which can alternatively lead to shipment delays. Therefore, it is vital to tidy up your inventories and warehouses.

To make your item sellable, you need to sell them from an accessible position. One way is to put labels or stickers on each compartment to make it easier for pickers to find the items instantly. Furthermore, you can integrate your inventory management software with the aid of barcode scanners to speed up the picking process.

  • Not training your staff properly

Even if you have made your inventory management service automated, it will all go in vain if you do not have the right inventory management services required for your business. It is of utmost importance that you train your employee correctly to manage your inventories efficiently.

Conduct regular training and upgrade your inventory management techniques with the latest technologies. Keep your staff updated on the status of your inventory. Ensure the person in charge of the inventory ensures smooth running by implementing the right inventory management solution for your business needs.

  • No game plan for the future

Being held up with day-to-day operations can sometimes make you lose track of your business growth. This can often make your business become a failure or bring your business growth to a standstill. Therefore, have a set vision of your business and have a team working towards your goal. Set achievable targets, and reward your employees.

When it comes to order management services, you upgrade your infrastructure and the automation system that you use regularly. This will not only help you grow your business but also earn profits at a higher rate.

  • Not using the right vendors

This may appear to be a no brainer, but it is a commonly facing issue by many. A good vendor is basically a fine balance between someone who is consistent and doesn’t also charge a bomb.

Before looking for a vendor, ensure you review their services thoroughly and look for customer feedback.

If you are selling a niche product, always consider a complete vertical integration to control over manufacturing, demand and therefore your inventory levels.

Final Thoughts

If you are looking for expert order management services for your business or order management outsourcing companies, Wow customer support is one of the leading organizations providing one of the best inventory management solutions at affordable rates. They provide eCommerce inventory management services to many Fortune 500 companies and top organizations. To know more about their services, click here.

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Everything You Need to Know About eCommerce Order Management Outsourcing!

How Outsourced Order Management can be Effective for Business Growth?

How Outsourced Order Management can be Effective for Business Growth?

Order Management

Order management is a crucial part of every business. A business needs to attract more customers which is why it is vitally important that it efficiently fulfills and processes existing client orders quickly. Order management is the very heart of every enterprise resource planning or ERP. You have to decide whether to handle eCommerce order management on your own or through a third party. Outsourcing helps to ensure that many of your daily tasks can be handled through a third party.

Lower Cost and Higher Efficiency

Outsourcing can help your business grow for a lower cost and in a more efficient manner. Third parties can be entrusted with the task of performing functions that your business would otherwise spend its valuable time on. All kinds of jobs can be outsourced and order management services are but one of the challenges confronting your business.

Lower Freight Rates

By outsourcing your business’s eCommerce order management to a third party, your business enjoys many benefits including lower freight costs. Remember that shipping costs are a huge expense for every business. The greater the volume, the lower the freight rates. Through outsourcing, your business can take advantage of high volumes and lower freight costs.

Also, shipping your products from an inhouse location does not ensure optimal costs or lesser transit times. Order management outsourcing gives your business a big advantage in the form of lower shipping costs. Not only that, but it also reduces delivery times of your products/services to your clients.

Share the Costs

If your business runs its own warehouse, it must bear all the associated costs. However, when you contract out the running of your warehouse operations to a third party, you can share the costs with them. This means that expenses like labor and rent as well as the cost of equipment and utilities plus miscellaneous costs will be shared. The result is significant savings in terms of money and time.

Manage Your Inventory

By outsourcing your business operations to a third party, your partner will bear all the shipping costs and in addition, your business gets access to the latest technology. This helps to make your business operations more efficient. Overall, outsourcing makes the entire supply chain run more smoothly. Best of all, outsourcing your eCommerce Order Management ensures that your partner handles all the shipping tasks. This frees up your time which you can spend on other tasks that will help to make your business run more efficiently.

Providing high-quality customer service is another very important part of every business. When you outsource this task to your partner, they will ensure that all processes are seamlessly integrated. Besides, they will also be able to handle the returns process in a more efficient manner. The result is a happier customer and more repeat orders.

Various functions like warehouse location and managing inventory space can also safely be entrusted to an outsourcing partner They are going to ensure that your shipments will reach your customers on time and order tracking will also be taken care of in a more efficient manner.

Best Time to Outsource Order Management?

The best time to outsource your order management process is after your eCommerce website goes live. Your outsourcing partner can help build and also customize your digital business. They can also handle your website, sales, and other miscellaneous eCommerce operations from a single location.

Another thing to keep in mind is how best to take care of customer order management.

If your business is not getting national or international attention, then it is time to outsource your order management services to a third party. Doing so will help your business save on fees and costs. By sharing responsibilities, you can free time to devote to selling products instead of managing everyday operations.

A successful business has to spend a lot of time selling its products and managing its operations. There is also a lot of competition in the eCommerce space. Unless your business becomes more visible, it won’t grow at the desired pace.

Also, if your business’s infrastructure is not geared to promoting eCommerce growth, then outsourcing is the way to go. Access to modern technology is neither easy nor cheap. If your business does not have the resources to grow rapidly, then it is the right time to outsource. Your partner will manage all of your operations giving you the freedom to spend time on marketing your products/services and scaling your business to keep pace with its growth objectives.

The best time to outsource is when you find that the cost of each order is greater than that of your provider. Keep in mind that your business is going to come under a lot of stress trying to keep pace with all the eCommerce order fulfillment services.

Volatile Order Volumes

It is normal for order volume to fluctuate with some days seeing a lot of orders and other days there will be none. If you outsource order fulfillment, your business won’t have to deal with fixed costs. In fact, processing orders through a third party ensures more accurate as well as more cost-effective order processing

Final Thoughts on Effective Order Management

Now that you know how outsourcing order management services can help your business grow, go ahead and check out an outsourcing company called Wow Customer Support. Ask them for a quote, which they will provide within 24 hours. Outsourcing can help your business grow because everything is taken care of – starting from query handling to providing a quote, and more. All in all, inventory management outsourcing holds the key to helping your business grow because your partner does all the heavy lifting for you. Our Wow Customer Support Twitter handle is @wowcsservice

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Order Management Outsourcing

Order Management Outsourcing: An Introduction

The world of business has changed multifold in the past few years. Changes in this world and the supply chain management happen every day. Global supply chains are bundles of complexity, with the customers having flexibility about the number of orders and delivery channels. Let’s have a look at how order management outsourcing can be a helping hand for eCommerce business.

If you are a business who is single-handedly organizing their order fulfillment, you would know that the process is more than only two critical steps. A delay in these steps leads to a delay in delivery.

Order Management Outsourcing can provide value to your business and prevent any hurdles that might bring your business to bad light.

End-to-end Order Management Outsourcing

Our end-to-end order management outsourcing begins right from sending a quotation and query handling, to invoice processing and Accounts Receivable Processing. By handling your e-commerce order management, we pay your way to becoming a transformational business.

Order Management Services begin when a customer places an order and ends when the order is delivered satisfactorily. With outsourcing these services, you can handle the whole plethora of processes that include the following –

Customer Service

The customer service includes everything from sending quotations, taking orders, resolving queries, and grievance management to returns, refunds, and customer follow up.

BPO Services

The back-office has services ranging from order data entry, contract validation, customer attestation, acquisition of order validation, and order status check to order revocation management.

Finance and Accounting Services

The finance and accounting services include invoice data entry, invoice processing, invoice creation, and credit check, among others.

Our e-commerce order management outsourcing system

Our Order Processing Services involve a wide range of services that provide ease to your business processes. The range of services by us includes inventory management services, the fulfillment of orders, as well as providing after-sales services.

Placement of order

The first step in any order fulfillment process takes place when the customer uses an automated form for placing the order. After the order is received, a member of the sales team checks the details before confirming it.

Fulfillment of order

After the order is confirmed, it reaches the warehouse, where an employee confirms the shipping details. After this, the employee generates an invoice and completes the order. Therefore, there are three essential steps ensure that the order reaches the customer on-time – pick, pack, and ship.

Inventory Management Services

Our inventory management outsourcing manages and monitors the level of inventory. Any fluctuations that happen due to the demands of the business brought to the notice.

Order Support Services

Our Order Management Services also include Support services such as Live Chat, Email Support, Call Center Support, as well as e-commerce support.

Our Order Processing Services

Order Data Entry

We have automated data entry systems and terminals that record and verify all information. So, our data entry services relieve you from the arduous task of data capturing.

Purchase Order Processing Services

We make sure that manual data entry labor comes down, thanks to our exceptional data capture software. In addition, the software goes through the order forms and checks for key data. It then records it, reducing the risk of errors.

e-commerce Data Management Services

We work untiringly to provide you with a classification system to maintain a record of your products. So, the system consistently records the products to provide ease.

Customer Database Management

Our Customer Database Management system is unbeatable. We do not only help you fulfill your orders, but we also help you to maintain the records systematically. The customer data is collected, analyzed, and managed consistently. We also work towards solving any issues or customer complaints by providing relevant solutions. With our services, you can be sure that your customers will be valued deeply, and there will be 100 percent customer satisfaction.

Billing and Invoicing Services

When helping you with order management services, we also make sure that we create invoices for the orders. These invoices reach the customers by mail or email. We also make sure that we keep track of paid orders and those that are outstanding.

Transaction Management Services

We record important management services and business transactions. In addition, all transactions, its effects, and transaction-related details are recorded.

Digitization of Documents

Apart from all the services mentioned above, we also offer services that let you convert all your documents in a digital format. The process of digitization gives you the document just as it is. It does not alter or change any information within it.

Indexing and Archiving Services

The indexing and archiving services that we offer cater to your specific needs. We organize your data as per the demands of your business. Any field that you may require can be added and handled for your ease of access. We can extract information during archiving such as invoice number, file name, title, document date, or document number.

Get your quote today!

We offer unbeatable inventory management services that will bring your business ahead of others. We organize your data systematically, keep your customers satisfied, ensure that the orders reach them on time, and give you every other service that lets you focus on the main tasks without worrying about these services.

Get in contact today to get an unmatchable quote for these services.

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