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Inventory Control Techniques for Effective Warehousing

Warehousing is the act of storing goods that will be sold or distributed later. While inventory control refers to “all aspects of managing a company’s inventories like purchasing, shipping, receiving, tracking, warehousing and storage, turnover and reordering.” Inventory control is also important to maintaining the right balance of stock in your warehouse. Warehousing and inventory control systems help a business monitor and track the amount of raw materials, finished goods and work in the process the company always has on hand.

ABC Inventory Analysis

The ABC analysis is a popular inventory categorization method/technique that often used in material management and Inventory control. ABC analysis provides a mechanism for identifying items that will have a significant impact on an overall inventory cost and it also helps to identify different categories of stock that will require different management and controls.

ABC analysis divides the inventory into three categories. “A” item is very important or being the most valuable items for an organization, “B” item is important but of course less important than “A” or being the intergroup item, “C” marginal important or the least valuables item. By knowing the important and values it helps warehouse to reduce the time to allocate and put-away.


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Lee Yi Xian, DLSM
Lee Yi Xian has substantive experiences in the logistics and shipping industry providing customer service. She is a member of the Singapore Institute of Purchasing and Materials Management (SIPMM). Yi Xin completed the Diploma in Logistics and Supply Management (DLSM) course on December 2018 at SIPMM Institute.
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