Understanding your inventory is a critical component of your overall profitability, says North American Retail Hardware Association (NRHA) training manager and editor Jesse Carleton.
If retailers don’t have an accurate, up-to-date picture of the products on their shelves, Carleton says, they could be losing money due to missed sales and frustrating customers in the process.
“Inventory is likely your biggest asset and also your biggest cost. Failure to manage it effectively can be a drain on your profitability. It will also impact your customer service,” he says.
With developmental support from Josiah Gates, vice president of product at Aubuchon Hardware, and Jason Budman, who works on human resources and store operations for Cole’s Hardware, NRHA is now launching the all-new Basic Inventory Management course for NRHA Training Members.
Spanning seven modules, the course provides a high-level overview of inventory management strategies and best practices. The online course is aimed at owners and managers, and it can be completed in about an hour.
Carleton says all retailers can benefit from reviewing their inventory management practices.
“When you have a reliable inventory management system, you can spot inventory issues quickly,” he says.
The course in Basic Inventory Management is available to NRHA Training Members. Click here or call Marci Taschler with NRHA Member Services at 317-275-9421 to learn more.
Module 1: Introduction to Inventory Management
The course starts with an overview of why proper inventory management is important to the overall profitability of a business.
Module 2: Ordering
This module offers an overview of the purchase order and several tools retailers can use for refilling stock levels, such as velocity codes and sales history.
Module 3: Receiving
The next module reviews the receiving process with an explanation of manual and blind receiving.
Module 4: Stocking
This module offers best practices retailers should follow when stocking and maintaining their inventory.
Module 5: Maintaining Inventory Accuracy
This module overviews the basic ways retailers count their inventory and some of the factors that influence the accuracy of their records.
Module 6: Inventory Reporting
The POS system is a critical part of proper inventory management, and this module discusses some of the common reports a POS system can generate.
Module 7: Managing Slow-Moving and Discontinued Products
This module offers an overview of how to manage slow-moving inventory, excess inventory and discontinued products.