Special Inventory Management Tips For Manufacturers

Inventory Management Tips

If you are in the business of bidding, specifications play a very important role. In writing specifications, the followingelements should be considered.

• Do not request features or quality that are not necessary for the items' intended use.
• Include full descriptions of any testing to be performed.
• Include procedures for adding optional items.
• Describe the quality of the items in clear terms.

The following actions can help save money when you are stocking inventory:

• Substitution of less costly materials without impairing required quality;
• Improvement in quality or changes in specifications that would lead to savings in process time or other operating savings;
• Developing new sources of supply;
• Greater use of bulk shipments;
• Quantity savings due to large volume, through consideration of economic order quantity;
• A reduction in unit prices due to negotiations;
• Initiating make-or-buy studies;
• Application of new purchasing techniques;
• Using competition along with price, service and delivery when making the purchase selectiondecision.

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