Step Over Overstocking and Understocking through Inventory Management Extension

1
Step Over Overstocking and Understocking through
Inventory Management Extension
At many of the warehouses and inventory stores,
there is a common issue about the social status
of the shelves. At one end, you will see a shelf
that is enjoying prosperity with a high status.
You can see big chunks of products that are
relaxing there on the shelf from weeks. They are
having their lazy days with a silky layer of
dust. Even the stock balance sheet of your CRM
has a damn high status for them with some big
figures.
2

• On the other hand, you see a shelve of a deprived
  class of shelve that constantly stays empty.
  There are high selling products that mark their
  spot on the shelves but misses the fortune to
  enjoy the luxury like the above ones. They arrive
  and in a short while, they have to leave the
  spot. And in your Microsoft Dynamics Inventory
  Management stock balance sheet, they constantly
  run with scarcity and have a low status.
• The Misery of Overstock and Understock
• Stock imbalance cost retailers 60 billion in
  2015. (Forbes)
• With careful inventory management, retailers can
  increase profits even by 50 percent. (CNBC)
• In 2017, inventory stock imbalance cost retailers
  nearly 100 billion globally. (Tyco Retail
  Solution)
• Retailers lose 1.75 trillion every year because
  of out-of-stocks, overstocks and returns.
  (Entrepreneur) View Source
• The social cliff mentioned above is commonly
  known as understock and overstock. It is the
  imbalance of the inventory which ignores the
  input and output demands on your warehouse.
  Hence, you end up loading a big stock that has
  very less movement. On the other hand, you have a
  range of fast moving products and constantly
  stays out of stock because of their selling pace.
• So, you are loading unnecessary stock and the
  stock that is necessary for your inventory, it
  falls short. This misery of overstock and
  understock leads your inventory to suffer losses.
  Even if you try to load your fast moving products
  as per its demand, you might face issues in
  finding that

3
extra space. Thus, all this end up resulting
damage to your business growth. Now the question
here is, why does it happen and how? How Do
Overstocking and Understocking Happen? You might
have your inventory management streamlined with
your Dynamics CRM yet, it is unable to bring
efficiency. Lets look into some probable reasons
which you might relate with Outdated Tools and
Process If you use outdated tools or have
limited features in your Microsoft Inventory
Management Software, it might result in one of
the two. You might have installed the system
years back and did not pay any attention to
update it. Such outdated systems also fail to
manage your inventory in a well-defined manner.
When your existing system is unable to notify you
when your stock goes down, you might suffer such
inventory cliffs. Inventory Complexity You have
several levels to manage in an inventory to
manage. From store level management to inventory
distribution, your employees have to look after
every single thing. This makes your inventory
management system complex. Here it becomes
difficult to manage your inventory and keep a
track of all the products.
4
System Disconnects According to Retail Wire, one
of the top five most common reasons for
overstocking are data disconnect. When your
inventory management is unable to sync and
integrate with the entire system it fails to tell
you where you are storing short or going
high. Lack of Insights Analytics are crucial in
inventory management. There is an intense need
for you to understand the demand and supply of
your inventory. This will help you to stock as
much as you have the demand for. Weekly, Monthly
and Quarterly reports will help you to scrutinize
you warehouse capacity. When you dont have any
analytical data in your hands, it makes you
suffer with over the limit stocks. How Can You
Cope with Overstocking and Understocking? It
might seem a bit tough for you to overcome the
challenges of overstocking and understocking. But
it is not that tough too. A well-defined
inventory management extension for Dynamics can
be a help to get over this imbalance of
inventory. AppJetty offers you a Microsoft
Dynamics Inventory Management Software extension
that has all the features to help you to maintain
equal stock in all your shelves. Let us talk
about some of the core features of this tool. It
will help you to manage your inventory in a
better way and coup with the hurdle of overstock
and understock inventory. These top features are
5
Low Stock Management Whenever your stock goes
down to a certain amount, the Dynamics CRM
Inventory Manager sends you an alert. This will
notify you that certain products are about to get
out of stock. So, you will be able to place new
orders and will never run with no stock status.
All you have to do is set parameters and add
values on what amount, you need refills. It will
also place the order whenever you are about to
run out of stock. Inventory Reports In an
inventory management system, periodic reports and
analytics are utmost important. You will have to
know which are your best selling products and
which are not performing at all. AppJetty tool
generates inventory reports and analytics charts.
This will help you to know on which products you
will have to focus more and save them from
getting out of stock or overstocked. So, you will
not miss out any update and will keep your
inventory as per your needs. Manage Warehouse
and Stock You have a serious need for an
accurate inventory management system if you are
facing an imbalance in your stocks. AppJetty
inventory management tool helps you to resolve
such inventory issues and provide you exact
figures. This way, you never have to face any
mismanagement in your inventory stocks.
6
So, break the ice for your non-selling products
and break the luxury of their shelves. AppJettys
Microsoft Inventory Management Software will aid
you best. It will not only prevent you from
loading excessive or falling short of products
but also will help you to streamline your
sales. If you want to know more about this tool
or how it will overcome your overstocking and
understocking issues, feel free to ask. We will
be happy to help you!