Monday, June 21, 2010

Stock Control - application and evaluation


Examples might include:

* A business that is growing will need to review its re-order and buffer stock levels, and the frequency and size of orders

* Look out for seasonality in a business; larger or more frequent orders may be needed in busy times

* If the supplier is having trouble supplying goods on time, the firm might need to re-order at an earlier point (or seek a new supplier!)

*Does the firm have a back-up supplier in case of delays?

* Could small additional orders be made with a supplier as a stop gap if the firm’s stock runs out suddenly? Note - these orders would be more expensive because of extra transport costs and lower discount level

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