If you own a business, you probably already know that inventory is the backbone of what you do. It lets you facilitate your customers even when they demand goods faster than your supplier’s supply.
If business storage inventory is the backbone of a business, then what is the backbone of inventory? We say the effective organization of self storage!
Effective inventory management requires that you know exactly how many goods you have, and when you need to order more. The first step for inventory management is to organize it. Here are 7 tips to help you organize your storage inventory.
1. Set up a Plan
The whole point of business storage is retrieval. You are bound to get each item in your inventory out someday or the other. So, a good idea is to start with creating a list of what items you want to put into storage.
For this, you need to be smart and vigilant. Look around your office and see what you can store to clear up the working space. Then think about all the products you need to store for later.
After you have compiled a list of products you want to store, group the similar items together. Things not related to each other go in separate boxes! Different items should go to different shelves, and so on. Once you have grouped things into separate boxes and shelves, half your organization is done.
2. Get a Self-storage Unit
Storing your business storage inventory in office and paying office rent rates for the space you occupy, is something we will only suggest, if you are Richie Rich.
More and more business owners are now relying on self-storage facilities to avoid costly leases. If you lack the space for business storage inventory, then you can end up with a messy office. You probably don’t want that unless you are looking for decreased employee efficiency.
Renting out a self-storage or a business storage facility means that you pay only monthly or yearly for the exact space you occupy. This can really help in streamlining your business and keeping track of your inventory.
3. Implement the FIFO Method
What is FIFO? Frankly speaking, not very different from FIFA. The First In First Out method basically means that you sell the oldest stock in your inventory before your new stock.
FIFO is one of the most effective inventory organization tactics for perishable goods. Not only does it cut down on spoilage costs, but it is also a great way of measuring the value of your inventory. This is a good strategy for non-perishable goods too because trends keep changing.
4. Take Notes!
Now, you need to keep track of what is going into storage units. Keeping a record of everything you send to your self-storage unit, and exactly where it is placed in the storage unit is very crucial.
You can do this either the old school way with a pen and paper, or record it digitally. Your inventory notes should include the name of the items, their location, the date they were stored, and the quantity. Don’t forget to audit! Keep updating your notes after any changes you make.
This will make it much easier for you to retrieve anything from the items in business storage in the future. You never know when a fresh wave of sudden demand rises.
5. Create a Visual Map
Label anything that goes into the storage unit. Each separate item, the boxes they are put in, and lastly, the shelf they occupy, name them all. If your lazy William Shakespearean-self asks you, “What’s in a name?’, tell it, effective organization and the key to better inventory management!
After creating labels, you now need to draw them out diagrammatically. Again, whether on a paper or computer, doesn’t matter.
Flowcharts or tree diagrams are an effective way of visualizing. Number each shelf and the boxes it contains. Make sure you keep a backup of this important document so that you can refer to it whenever you need to get some stock back.
6. Important People Always Get the First Seat
Set up a meeting with the finance and supply chain department and make effective self-storage policies. Know what the hot selling item is, and what sells out only seasonally, then instruct your warehouse staff to keep best-selling items on the front shelves of the business storage unit.
Your staff can easily retrieve the items and proceed to send them for delivery. This way, your customers will get timely deliveries and you will see exponential growth in your sales.
7. Go Digital!
The times have changed! Your inventory can lay in your pocket. An inventory management software or app can help you in staying away from running out of stock and overstocking in your self-storage unit. You can easily forecast your stock requirements according to your sale trends.
Although it will cost you extra bucks, such a software cuts down on labor costs. Almost all of the above mentioned steps can be handled more efficiently using a software.
Follow the above tips to strengthen inventory management and improve business flow! Hopefully, your inventory will be perfectly organized and you will be set to make more money!