Five good habits that make for better supermarket inventory management
There are few challenges in retail tougher than managing grocery retail supply chains; optimizing a broad inventory that includes fresh and short-shelf-life products is not easy. And there are few things that show better what a supply chain professional and a supermarket inventory management system can do and the impact they can have on profitability. Better replenishment of perishables means your displays look better, customers get fresher goods and you sell more. So let’s look at how effective grocery store inventory management makes best use of products’ shelf life information and category level consumer behavior to cut retail food waste.
1. DEFINE YOUR GOALS AND PRIORITIES – KNOW WHAT YOU VALUE MOST
Having worked with fresh goods wholesalers and retailers from big to small, high end to price-driven, supermarkets, convenience stores and cash & carry chains it’s clear that replenishment teams walk a tightrope between spoilage costs and shelf presentation, so it’s really important to get the balance right.
2. NEVER OVERLOOK PRODUCT LEVEL SHELF LIFE WHEN ORDERING
All major retailers have contracts with suppliers that specify that items have an agreed minimum shelf life when delivered. But this information isn’t always given sufficient importance in replenishment, as sell-by dates vary from delivery to delivery. However, the variables can often be worked into forecasts. ReadMore….