The initial step toward a more effective warehouse Dock to stock is the first logistic support challenging issue that a warehouse must address before proceeding with the remainder of the processes.

What is a dock to stock?

Dock to stock is an ability to receive method in which components are produced right to the source of use (space or production), bypassing the traditional able to receive checking.

Components that have been “demonstrated” to be able to comply are provided DTS status by the majority of organizations. It is standard practice to undertake an able receive checking on the sections after at least five shipments (some companies choose 10).

After a provider has demonstrated 5 times that they can produce a complacent product, that personal product number is provided DTS status. Then it’s common to practice for manufacturing divisions or leadership involvement to check for conformance as required.

If results are found to be noncompliant, it is placed on a backstop list and should demonstrate its truthfulness once more — typically through 5 trials.

How to cut dock-to-stock cycle times

Lowering the cycle times necessary to finish the dock-to-stock procedure is critical for an efficient supply chain management. This process includes a series of components, and optimizing them would then enhance dock to stock throughput. To accomplish this, keep the following principles in mind:

Warehouse layout: the loading dock region should indeed be designed to accept trucks quickly respond, with no need to stand in line for them to be offloaded. It is also essential to clarify the contact area designated for the organizing region to place the pallets on the floor.

Reduce worker moves: the physical distance covered by contractors while performing their tasks is approximately equal to the dock-to-stock cycle time. Consolidating and organizing invoice duties aids in effectively reducing operator travel time.

Simplify data management: this is without a doubt a most critical and labor-intensive procedure, as mistakes at this point have a huge effect on stock planning. Trying to implement a WMS is the greatest way to speed up this procedure.

Technology can reduce dock-to-stock turnaround time by utilizing automated material handling tools and storage solutions. All of the processes involved in this process can indeed be done by machines.

Cross-docking: effective inventory control informs you whether a recently received item should be saved. Cross-docking saves you time on memory tasks that aren’t essential.

In the broad sense, it is essential to follow good logistics practices, paying attention to all aspects present, to reduce the dock-to-stock cycle time.

dock-to-stock processes for eCommerce success

Before we get into Dock-to-Stock options, let’s take a closer look at the transport costs. In our encounter, incoming freight expenses usually vary from 3percentage points to moreover 5percentage points of a company’s annual net revenue.

These costs are included in the cost of sales computation as part of its production cost. How much does the incoming bill of lading charge you as a percentage of net sales?

The majority of e-commerce vendors should aim to clarify the dock and orchestrate regions in the same shift. This presumes restricted quality assurance (QA) duties, such as fabric checking and quantification. If QA is required, the dock and orchestrating regions must be managed to clear within 24hrs.

Here seem to be 11 suggestions for improving dock to stock procedures, lowering costs, and improving productivity:

• Establish Vendor Compliance Program (VCP)
• Implement Accelerated Shipment Notifications (ASN)
• Recognize Rates of return from Other Invoices
• Data Receiving Scheme Expansion
• Significantly Improve Assurance (QA) and Inspection (Evaluation)
• Configure Cross-Docking
• Use Barcode Receiving.
• Make The use of 3rd Logistical support (3PL)
• Transport Management Scheme (TMS) (TMS)
• Junction of Electronic Data (EDI)
• Create a Seller Score sheet

Implementing the WMS to enhance dock to procedures for stock

Before the advent of new tech in the logistics sector, shipments did receive on the dock to stock were recorded on the document and then relocated into the warehouse. This scheme was susceptible to human error and made quality assurance QA and order needed to process complicated.

A warehouse management system (WMS) is a software program that monitors and manages everyday logistics processes. WMS easy and relatively the dock to stock process by ensuring inventory is obtained, saved, decided to pick, filled, transported, and resupplied as effectively as possible.

A sophisticated WMS offers real dock to stock count as well as more precise numbers for inventory budgeting.

A warehouse management system will be able to search for each new package obtained with the dock to stock levels it does when it tends to come to the dock to stock. The item would then be transported towards its longer or shorter stock storage site, where it is digitized again, for each physical exertion matched to a complete record. The WMS would then give you specific directions about where to store the objects.

You’ll be allowed to see real-time inventory levels and to see your inventory levels happen suddenly just after dock to stock procedure even before your fresh inventory is inspected into such an inventory system as well as safely stored.

How 3PLs manage dock to stock

LOGSTIAT is a third-party logistics provider that assists entrepreneurs in optimizing their distribution network and fulfilling orders.

LOGSTIAT recognizes the significance of an appropriate dock to stock process. LOGSTIAT utilizes several best practices throughout 4 DTS stages, from having received and checking products to revamping considerable quantities and holding inventory.

By possessing your stock sent straightforwardly with one of our fulfillment centers, LOGSTIAT’ standardized WRO method is meant to cut useless time and complexity out of the warehouse having received procedure whilst also retaining good precision and documentary evidence (e.g., from your manufacture).

LOGSTIAT platform helps in tracking the status of all WROs and determining whether or not the WRO was obtained on time following our service levels.

LOGSTIAT needs to enter new merchandise utilizing our sophisticated WMS innovation, which tracks real-time inventory levels and updates when fresh dock to stock is saved, and so this information is sent back to you so that you may have seen the full procedure.

We’re going to discover everything about automate inventory How It Can help you through this blog post in detail.

Inventory management is critical for most company owners, but it’s especially important if you’re juggling multiple sales channels (and possibly a brick-and-mortar shop on a pinnacle of that)!

Trying to wrangle every one of these factors by hand is a recipe for trouble. Not to notice the time commitment. But what if we started telling you that you and your team could use that time for more important things while still taking care of your inventory?

This is where automated stock control can help. You’ll end up saving months every year by harnessing the benefits of a retail operating system such as Brightpearl, even while increasing the reliability of your inventory control procedures.

 What is an automated inventory management system?

Department stores can handle their inventory data with an automate inventory system. Workflows are simplified and save time. By customizing your general merchandise automation with which was before circumstances, you’ll be able to focus on other important tasks while knowing that inventory is being taken care of.

LOGSTIAT retail able to operate systems have taken things a step further. They motivate and inspire automate inventory motors to assist you in optimizing your whole inventory and distribution process. Everything from dropshipping to backorders, partial fulfillment, outsourcing fulfillment, order invoicing, customer tagging, inventory counts, and more can be automated.

These all-inclusive systems also include characteristics like automate inventory system, PO creation, and trying to report. You’ll be capable of managing your whole backend from a single, simple, as well as user-friendly interaction.

Benefits of an automated inventory management system

automate inventory management systems provide numerous advantages to organizations that extend beyond inventory control methods to the entire organization. For example, with a solid automatic vehicle inventory system, the sales staff is kept up to date on obtainable stock items, while the advertising team members are aware of goods that need to be advertised and first objects that are running low. These processes also provide the firm’s C-suite with true knowledge and insight into data sets.

Let’s look more closely at some of the advantages provided by an automate inventory management system.

Inventory control in real time

The most obvious advantage of an automate inventory management system is connectivity to real-time stocktake data.

Management teams could indeed keep track of obtainable stocks and make appropriate decisions that help a robust automate inventory management system. The automated stock control application is capable of updating the inventory count in its scheme constantly, ensuring that you will always have a defined and precise inventory count obtainable.

Human error is reduced.

Human errors are unavoidable in manual processes. Companies, on the other hand, could indeed depend on the quality of the information they obtain with an automate inventory management system. The scheme continuously updates inventory data “whenever” an inventory item is sent out or resupplied, minimizing the likelihood of data entry errors.

Investments in time

An automate inventory management system can help to decrease data entry, but it also greatly enhances the inventory management framework’s effectiveness. The system reduces the number of people required to manage an excel spreadsheet. Furthermore, with the automate inventory system in place, the obtainable human resources can indeed be freed up from superfluous tasks and contribute more value to the business by streamlining other inventory systems or purchasing.

Why Invest in an Automated Inventory Management System?

Recognizing what objects are in your storage facility as well as which items are coming in and out could indeed help you to avoid fraud, increase speed fulfillment, and reduce costs.

balance sheet your accounts, providing financial statements, and evaluating assets are all important roles in your distribution chain that necessitate good inventory control. Manually completing this task may not be the most effective way. Whenever a human is required to perform various tasks, countless disruptions and mistakes could indeed occur.

Establishing up an automated inventory management system for your warehouses could indeed help you create more efficient and educated strategic decisions. Inventory control gives you a better understanding of your inventory and able to keep track of it in real-time.

Here are a few more advantages of using an automated inventory management system:

Parallelization should be maximized.

Manual process having entered inventory every day, as well as e-mailing and trying to call workers to identify out just how much inventory is on hand, are not configurable activities.

Able to track

A good automatic inventory management system will assist you in monitoring your inventory and having an assigns a unique of your shares all across your channels.

You could indeed easily determine how so many objects are inequities and where they are located. This also enables you to locate inventory in specific retail channels, which is beneficial for the business with numerous warehouse storage locations.

Why is inventory management so significant?

Every business aims to create a great image possible by providing exceptional customer service. It is possible to achieve this by providing outstanding service. Making sure that commands are in stock and/or accessible at specific times guarantees that all commands are organized and completed on time to their designated locations. It boosts client satisfaction and increases the likelihood of repeat business.

With such high consumer spending and fierce competition from other companies offering similar assistance, it is critical to stay current on technology and trends. Then there is the requirement to adhere to the regulatory requirements of running a corporate or advert enterprise. automate inventory management measures enable the company’s security, now and in the long term, and that customers return.

Commercial enterprises that automate inventory management system new tech have an advantage over their competitors because they use a more effective operating scheme that is far more vibrant, secure, and constructive. “Doing in such little time” maintains effectiveness, returns on capital, and continuity over time, particularly whenever there is rotation within a corporation.

In Closing

We knew everything about the automate inventory through the previous points and we hope you like it.

Determining warehouse capacity accurately is considered one of the very important topics in warehouse management because of the decisions that determine the strategies and methods of work of the entire institution, and there are a number of factors that will affect determining warehouse capacity, which you must take into consideration while determining capacity, and in this article we will present You have all the details related to the process of determining warehouse capacity, as well as how to improve and increase it.

What is warehouse capacity?

What is meant by warehouse capacity is the space available for storage, in which stock can be prepared and orders placed.

It is the available space, which is determined according to a number of factors, as:

• Dimensions and weights of the products to be stored in this warehouse.
• The volume of inventory the company needs to meet the special demands of its customers.
• The space your employees need to efficiently carry out customer orders and locate items to fulfill orders.

Warehouse space utilization versus storage utilization

Many confuse Warehouse space utilization with storage utilization, and in general Warehouse space utilization refers to how efficiently a company uses its warehouse,

And storage utilization refers to how efficient the use of space is in storage, and you can get it by multiplying the area of Warehouse space utilization by the net height for warehouse.

What makes warehouse capacity important?

Determining warehouse capacity is very important, due to its prominent role in logistics management,

And it also has a major role in improving the storage and management of your inventory, and thus better growth of your business.

Also, through warehouse capacity, you will be able to know the amount of inventory that you can accommodate, thus reducing the risk of out of stock as well as backorders.

Many believe that they always need to have the largest possible space, and this is not true at all,

As the greater the warehouse space, the higher the costs of storage and inventory control tasks.

Therefore, always make sure, when determining your warehouse capacity, that you choose a space that:

• Suits the size of your business
• Helps you in the rapid and efficient execution of orders.

How to calculate warehouse capacity

In order to improve your warehouse capacity, you first need to determine the actual capacity of your warehouse.

Here are the steps you need to calculate warehouse capacity:

1. Specify the square feet measurements for your warehouse.
2. Calculate the total area that you use for non-storage purposes, such as bathrooms, rest rooms, and so on…
3. Subtract the non-storage space from your total warehouse space, to get the available space for use in your warehouse, and you can rely on this formula to calculate it:
4. Area available for use = Total Sq. Ft. Non – Storage Space Sq. Ft.
5. Specify the exact amount of storage space available for use, as the visible maximum height of the warehouse.
6. Multiply the maximum apparent height of the warehouse by the total area available for use in your warehouse, to get the storage capacity in cubic feet, and you can rely on the following formula in the calculation:
7. Storage capacity = usable space in square feet. Foot. ×Maximum visible height in feet.

Optimizing warehouse capacity

Now that we know how to determine warehouse capacity, you can now think about how to improve warehouse capacity, and digital warehouse tools can help you optimize Warehouse Layout capacity efficiently.

Digital warehouse tools also help you effectively optimize your e-commerce warehouse operations.

Warehouse management systems (WMS) help you improve warehouse capacity by:

• Tracking real-time inventory.
• Keeping track of your inventory flows.
• Helping you identify your inefficiencies
• Improving your operations.

Warehouse KPIs also play an important role in improving warehouse capacity by determining the efficiency of your employees in the operations of storing your stock in the warehouse and other useful functions.

Increasing current warehouse capacity

Many are looking for a suitable way to increase their capacity, which will help them in achieving future growth.

In order to increase current capacity, you need to determine your future demand by forecasting your future inventory needs.

So you’ll need to reconsider your current warehouse setup, and there are a number of things you should check first before considering increasing current capacity:

• Make the most of your existing warehouse space.
• How double shelves can be used for storage to increase space.
• Possibility to make some adjustments in the scroll view to save more space.
• The possibility of charging and receiving docks, thus saving more space.
• The extent to which the maximum benefit from warehouse automation is achieved.

FIFO and LIFO Inventory Management are one of the methods also used in inventory valuation, as there are many of these methods, the most important of which are FIFO and LIFO, and through them, you can evaluate your inventory by evaluating the cost of goods sold and ultimately determining your profitability, and the inventory valuation process depends on the costs incurred to obtain on inventory and preparing it for sale, and in this article, we will show you all the details about FIFO and LIFO Inventory Management.

What is a FIFO and LIFO Inventory Management?

One of the most popular terms used is FIFO and LIFO Inventory Management. FIFO is an abbreviation of First In First Out and LIFO is an abbreviation of Last In First Out.

It is necessary for the company to keep the quantity of inventory bought and sold in order to monitor and determine the cost of inventory for the period.

Its cost can be calculated through inventory, and inventory or stock valuation takes more than one method, the most important of which is FIFO and LIFO Inventory Management.

Therefore, FIFO and LIFO are one of the most popular terms used. FIFO is an abbreviation for First In First Out, and LIFO is an abbreviation for Last In First Out.

It is also important to note that choosing the appropriate method of them depends on the financial position of the company, especially since these accounts will mainly affect the income statement and inventory in the balance sheet.

FIFO: First in, first out and how does it work?

This method is based on the premise that the first inventory that is purchased is the first that is sold,

And the remaining assets in inventory are matched to the assets that were recently purchased or produced.

It is one of the most common inventory valuation methods companies use because it is simple and easy to understand.

During inflation, the FIFO method results in a higher value for final inventory, a lower cost of goods sold, and a higher gross profit.

Unfortunately, the FIFO model fails to provide an accurate depiction of costs when there is a rapid rise in prices, and this method does not offer any tax advantages.

LIFO: Last in, first out and how does it work?

Under this method, the newest stock is supposed to be sold first while the oldest stock remains in stock,

And companies rarely use this method because the old stock is rarely sold and gradually loses its value, and this results in a big loss for the business.

The only reason to use LIFO is when companies expect the cost of inventory to increase over time and inflate prices.

By moving high-cost inventory to the cost of goods sold, the companies’ reported profit levels can be lowered, and this allows companies to pay lower taxes.

FIFO and LIFO similarities and differences

As for the similarities between FIFO and LIFO Inventory Management, they are both used in inventory valuation, and each of them is used according to the company’s financial position.

The main differences between FIFO and LIFO Inventory Management are their effect on the company’s income statements and balance sheet.

In times of inflation:

• If the LIFO method is used, the cost of inventory sold will be higher than the remaining inventory, which will result in a higher cost of goods sold and a lower value of inventory on the balance sheet.
• If the FIFO method is used, the cost of inventory sold is less than the inventory held, which leads to a lower cost of goods sold and an increase in the value of inventory on the company’s balance sheet.

Another difference between FIFO and LIFO Inventory Management is how they affect tax, that:

• LIFO method will result in higher cost of goods sold and will result in lower taxes because profits are lower when the cost of goods is high.
• FIFO method will result in higher tax because the cost of goods sold is lower and therefore profits will be higher.

Which Method Is Better FIFO or LIFO?

We cannot determine the best method, FIFO or LIFO, but in general, you should choose the method that best suits your company’s financial position.

Therefore, the FEFO method is often applied by food retailers and pharmacies, and products containing semi-expired products are usually placed on the front shelves or in easily accessible places.

The LIFO method is used by companies when they expect the cost of inventory to increase over time and lead to price inflation.

By moving high-cost inventories to the cost of goods sold, companies’ reported profit levels can be lowered, and this allows companies to pay lower taxes.

The packing list is one of the most important documents used in the shipping process. If you request a quotation for your shipment from the shipping agent or your logistic partner, they will ask you to provide them with your list, and this list has special benefits and importance that will help you in your work greatly, and in this The article will provide you with all the details about the packing list and its importance as well as the most important contents included in it.

What is a Packing List?

A packing list is a document that helps make international trade easy and smooth, as it provides complete information about your shipment to the exporter, forwarder or consignee.

This list also includes all the information about your shipment details, how it was packaged, dimension and weight details, destination details, etc.

Essentially, a packing list allows customers and others involved in the transaction to visualize the contents of your shipment; hence it is an important document.

Why Do I Need a Packing List?

The importance of these lists and the reason you need it is that it is the commercial document that details the contents of a package.

And through which transport agencies, government authorities and customers are informed of the contents of a package or shipment.

Through all those details the package is dealt with, the seller creates a packing list and sends it to where the goods are in order to get an accurate count of the goods sent.

Once the goods are noted and packed, the list is sent with them to their destination. Here are a number of points that illustrate the importance of this list:

• Identification of lost cargo especially for carrier and insurance claims.
• Allow selective inspection by customs authorities, and many governments require it for large shipments.
• Providing a map of the shipment so that the buyer can easily unload and store the shipped goods.
• Clarify the details required to obtain a certificate of origin.
• Represents evidence of the Material Safety Data Sheet if the goods are deemed hazardous.
• Represent a guide for the recipient or buyer.

The Packing List: A Vital Freight Document

The packing list is a vital shipping document, because it helps in the process of importing and exporting goods faster and easier, and it informs those responsible for the contents of the package or box, thus helping them to verify its contents.

Freight forwarders, customs officials, and others involved in the supply chain management use the details in the listing, through which items are checked for compliance with rules and regulations.

It is also through this list that customs officials at the port of destination will determine all import fees and taxes, in addition to being a source of vital information required to complete the bill of lading.

Things to look out for on a shipping packing list

There are a number of obscure things to look for in the packing list and check them well, the most important of which are:

• Packet sender.
• Shipping destination for the package.
• The number of items included in the package.

This is in addition to checking the rest of the packing list items, which we will show you in the following paragraphs in some detail.

What information is included on a Packing List template?

There are a number of basic information that you must include in your list templates, and these lists can cause you delays in the customs process.

Here are the most important items to include in your packing lists:

• Date.
• The origin and destination of the goods.
• Total number of Parcel Management in the shipment.
• Specific details for each package.
• Weight and volume of each package.
• Weight of the whole shipment.
• The commercial invoice number for the shipment.
• Shipper contact information.
• Send contact information.

Every company needs to pay great attention to the provision of effective inventory management, in order to ensure that stock quantities are maintained properly and the quality of the products is maintained until they reach the consumer.

Effective inventory management systems track all processes related to the receipt and delivery of merchandise, and stock levels depending on the type of inventory.

In addition to tracking and controlling incoming and outgoing according to documents and invoices, which facilitates the tracking of all daily procedures.

In this article, we will show you all the details about effective inventory management, as well as its most important strategies and techniques, with an explanation of its most important benefits.

What is Inventory Management?

Before we begin to explain the importance of effective inventory management and methods, we will first need to know what inventory management is.

Inventory management is a process by which products are tracked and organized in the period owned by the company.

So that profit is realized and calculated when inventory is sold to customers. Inventory management is an approach to ordering, storing and selling both raw materials and finished products.

Benefits of effective inventory management

As for the importance of effective inventory management, there are many positive effects that can accrue to all parties in the business operations environment when using it.

Whether it is at the level of the organization and its administrative, manufacturing, sales and warehousing departments, or at the level of customers interested in the items and products of this organization. Therefore there is great importance to the availability of effective inventory management, and here are the main benefits from it:

1. Minimize errors caused by traditional methods

The importance of having effective inventory management systems is to reduce the amount of errors that can occur during traditional warehousing and inventory processes.

Where effective inventory and stock management systems are given an opportunity to review errors that can occur during the receipt, storage and transportation of goods; as computerized systems are involved in counting, reviewing and checking quantities and items in modern inventory systems.

Barcode systems used in inventory and inventory systems also allow recording all data related to goods or products.

The impact of any operations on these items is reflected in accounting as soon as any physical action takes place on them, which helps reduce errors, especially in the presence of high sales, purchases, storage and transfers.

2. Increase customer satisfaction

The process of inventory management is never separate from the satisfaction and service of customers who deal with a particular company or organization, provided that it is effective.

Where customer satisfaction is related to the availability of the goods or products they require, especially those that are in demand on a regular basis.

Where inventory management systems contribute to knowing the need and then supplying the commodity stock of a specific material in the event of a large demand for it.

This helps customers find the orders or products they want quickly and at any time.

3. Improve the review and audit process

The process of reviewing and auditing the operations that take place on the inventory is affected by the type and development of inventory systems, as some organizations resort to the use of tracking systems for all movements on various items.

This facilitates the review of operations on them and protects them from loss or theft. Modern inventory management processes also ensure greater care for financially valuable products.

By linking it to trackers that can locate and track its movement during transportation or delivery service, providing greater flexibility in audits, audits and inventory.

It is also possible by using modern inventory management systems to conduct a tracking and periodic review of some items to ensure their safety.

4. Save money and improve cash flow

By reducing losses, these effective systems provide the feature of tracking products that are close to their expiry date.

Thus bringing it to the fore for disposal first, so these systems help you keep track of your inventory automatically.

Effective inventory management also helps you identify which products are at the top of sales and which are least in sales.

Thus creating a strategy about the products you need to order, as well as the money you should keep on hand.

5. Evaluation of the company’s business

Effectively functioning inventory management systems result in excellent business valuation and financial analysis of your organization.

This is done by studying some financial rates and ratios related to inventory by the organization’s management.

One of the most notable is the inventory turnover ratio, which reflects the organization’s ability to convert its merchandise inventory into cash.

Inventory Management Process

Your company needs to fully follow the inventory management process through the system, in order to be able to manage the inventory effectively.

An effective inventory management process includes oversight of warehousing capacity and production, as well as follow-up on product sales.

This process takes place in two main stages, namely:

1. Obtaining the basic components and raw materials to stock them.
2. Selling quantities of finished products to final consumers on demand.

Steps in Inventory Management Process

As for the steps of the inventory management process, it is divided into two main steps, and each step has other sub-steps. where:

Step One | Determining the progress of the inventory management process

In which the identification of the tasks to be performed by each department is checked. The production department also sends the finished products to the sales department. The departments concerned are:

• Purchasing, which is the department responsible for purchasing raw materials to be stored in the warehouse.
• Production, this department specializes in using raw materials to develop and make finished products for sale.
• Warehousing, this section stores goods until they are distributed to end users.

Step Two | Assign duties to professionals

After the departments are identified, you will need to create job descriptions for the tasks that each individual performs, as well as create job descriptions for any new recruits for the number of jobs involved.

Inventory Management Techniques

The following are the most important techniques that are used in effective inventory management:

1. Setting Base Levels for Estimation

It is one of the most important inventory management techniques that will help you keep track of your inventory.

By keeping a base level for each product, this will help you determine how many products you have.

This technology will give you a warning sign when your inventory is running low and you will be able to set a base level for your products.

2. First-In-First-Out (FIFO), Last-In-First-Out (LIFO)

The principle of first-in-first-out is an important principle in organization and management, and the process of inventory management requires that the older products be taken out first.

The reason behind this is that old products are more likely to expire compared to new stock. The LIFO method is the other most widely used inventory management technique.

Which sells new products first and old products last. This method helps reduce the sales tax that producers need to pay for the products they sell.

3. Dropshipping

This technology is where products are sold directly from the supplier’s warehouse, and is one of the fastest ways in business models. Anyone can use it by creating and promoting their own website.

4. Just in Time Delivery

One of the most important techniques used in order management and inventory is the JIT method, through which inventory costs are reduced and inventory is acquired as needed.

Also, through JIT technology, the company will be able to deal with inventory that is not used or sold by customers.

5. Prioritize with ABC

The ABC technique is the best technique for effective inventory management for products that are sold in different categories.

Through it, the company will be able to prioritize its inventory by separating the products that require a lot of attention.

The following is how the products are categorized by this method:

• Products that sell slowly but are of high value.
• Products that are sold at a moderate pace but of moderate value.
• Fastest selling but low value products.

There is great importance for digital warehouse tools, as warehouses need to be equipped with the latest technologies that keep pace with huge developments. This is due to the rapid advances in technology, enabling companies to keep pace with manufacturing and production processes and consumer demands at the same time.

And through the use of digital warehouse tools, warehouses can be automated to obtain an intelligent warehouse that improves efficiency, productivity and accuracy of work.

It also provides digital repositories tools to provide flexibility and speed in the completion of work for employees. In this article, we will show you all the details about the most important digital repositories tools and their importance, and show you how to keep them flexible and efficient.

What are digital warehouse tools?

Digital warehouse tools are important elements that help you enhance your warehouse and keep pace with progress. It is used and supplied to warehouses, which helps in:

• Reducing human error.
• Productivity improvement.
• Reduce overhead.
• Increase the accuracy of assessing your workforce requirements.
• Reduce the risk of infection.
• Increase flexibility in working hours.

The most important digital warehouse tools in 2022

There is a set of common digital warehouse tools that must be used today to facilitate warehouse operations. And all of this will reflect positively on your productivity and sales.

Here are the most important digital warehouse tools that you need in 2022 and that will clearly improve your performance:

1. Automated Picking Tools

It is one of the digital warehouse tools that promote dramatic improvements in accuracy and productivity in warehouses.

These tools can be relied upon to improve item selection and labor allocation, which will reduce human error.

Automated Picking Tools includes many other important tools that will enhance the productivity and efficiency of your business.

2. Automated inventory control platforms

These two technologies, such as one of the digital warehouse tools, helped in getting rid of paper and pen in inventory operations or manually calculating cycles.

Especially since manual inventory involves a lot of errors that can cause huge disruptions during the work.

So Automated inventory control platforms help you to monitor inventory and make the inventory process automated.

This is because it is characterized by its high speed in collecting data and preparing accurate reports in real time.

3. A Warehouse Management System

Warehouse management systems help you collect all your data in one comprehensive platform that is easily accessible at any time.

Which gives you a complete view of your business and helps you in preparing reports and statistics on business efficiency in real time. This saves you calories in making the right decisions.

It is one of the most important digital warehouse tools, that there are a number of basic characteristics that must be available in the warehouse management system that you will deal with.

And the following are the most important of those basic features and characteristics in WMS:

• Access to real-time data gives you effective insight across the supply chain management.
• Increased order forecasting accuracy.
• Effectively allocate labor and thus lower your labor costs.
• Simplify your warehouse operations.
• Layout of the warehouse in the best possible way.
• Enhance and improve selection accuracy.
• Reduce time at work.
• Improve responsiveness and flexibility in your warehouses.
• Enhance your level of customer service.
• Enable the implementation of continuous strategies for improvement.
• Strengthen your relationships with suppliers.
• Increase and improve the security of repositories.

4. Automated Guided Vehicles

It is a very effective and useful digital warehouse tools, and this technology helps you in maximizing the process of storage and retrieval.

These mechanisms are self-guided, including the steering of forklifts and pallets themselves. And that is by tracking the digital tracks that will be programmed on them.

So Automated Guided Vehicles or AGVs as one of the digital warehouse tools help you easily boost your business growth.

5. IoT Implementation

The Internet of Things is one of the most important digital warehouse tools, through which you can control all the moving parts in your warehouse easily and remotely.

IoT technologies also help you monitor temperature, humidity, and other conditions. It can also integrate incoming data and effectively reduce cases of theft or forgery as well as preserve data from loss or damage.

So IoT as one of the digital warehouse tools helps synchronize all your data into an easily accessible network. This will facilitate inventory control and business planning, thus providing an outstanding customer experience.

There are many types of inventory systems used in companies, and the periodic inventory system is one of the systems used by some companies. In general, every company needs to know what it has in stock of the products or raw materials it uses; to learn how to manage it appropriately in line with the volume of demand for its products in the market. Thus, avoiding a sudden shortage or a large surplus that becomes useless, each organization uses the inventory system that is best for it. In this article, we will discuss the most important information about the periodic inventory system, as well as its advantages and the most important disadvantages.

‎What Is Periodic Inventory?‎

It is the inventory method by which inventory is taken at the end of each year, or when the company’s statement of financial position is prepared.

The periodic inventory is concerned with the actual inventory of the inventory, not just the book inventory, meaning that the number of quantities actually in the stores is counted and counted at the cost.

‎What is a Periodic Inventory System?‎

As for the periodic inventory system, it is one of the software systems that supports periodic inventory taking.

The company enters its inventory numbers into the periodic inventory system, then the system performs the initial review of the goods and reconciles the different data.

This system supports the current inventory keeping method, through which updated inventory lists can be obtained and printed, as well as the ability to calculate any data you want and settle inventory for new periods.

Periodic Inventory Accounting

And speaking of how to calculate the periodic inventory, there is a basic mathematical formula that is used in accounting for the periodic inventory. The main objective of that formula is to determine the cost of goods sold as well as the change in inventory each time period. The following is the accounting formula for periodic inventory:

• Closing Inventory = (Purchases + Beginning Inventory) − Cost of Goods Sold

‎Periodic Inventory System Advantages and Disadvantages

There are pros and cons to the periodic inventory system. Although it is easy and inexpensive, as we have indicated, it uses minimal information.

Also, through this system, you do not collect and disclose data in real time. And below we will discuss the most important advantages and disadvantages of the periodic inventory system:

1. The Advantages of Periodic Inventory System

Here are the main advantages of a periodic inventory system:

Simplicity, where this type of inventory is characterized by its simplicity, as it performs the inventory process through simple steps and with fewer calculations.

Low cost. In this method of inventory, you count the inventory at regular intervals, without the need to purchase sophisticated inventory control software, which has a high cost.

2. The Disadvantages of Periodic Inventory System

On the other hand, there are a number of serious drawbacks to this method of inventory, the most important of which are as follows:

Slow processing, because updating the periodic inventory system occurs after a specific period of time, and thus the process of tracking goods is difficult.

It may also not be suitable in some industries that need to modernize faster, such as clothing, as this system may negatively affect the revenues of that industry.

The Benefits of a Periodic Inventory System

The periodic inventory system has many benefits and this is probably the main reason why most companies rely on it as one of their primary inventory methods.

Especially since the periodic inventory system is characterized by its ease of implementation and its low cost, in addition to not requiring a large number of employees to deal with this type of inventory system.

The periodic inventory system is particularly suitable for small businesses, and by doing a basic count of their inventory on a daily or weekly basis, they can get a proper indicator of their inventory performance.

Out of stock is one of the most annoying issues facing retailers and online store owners, which can frustrate customers and give them a bad shopping experience. In general, inventory management is critical to the success of a retail business, especially maintaining proper levels of inventory, so that stockouts, as well as overstocking, are avoided. Generally, a well-managed inventory will keep customers happy, boost sales and thus increase revenue. In this article, we will show you all the details about the problem of out of stock, as well as how to deal with it properly.

‎What is Out of Stock?‎

Out of stock means that certain items or products are not available at the point of purchase when the customer orders them.

Which negatively affects the customer experience, and even makes them abandon the shopping cart and go to your competitors.

‎What Triggers an Out of Stock Condition?‎

As we mentioned, the out of stock issue negatively affects the customer experience. And this problem may occur for many reasons, such as:

• An error during the inventory calculation.
• A very high demand for a particular item.
• Suppliers are late in providing the items.
• Not having the financial resources to provide an adequate amount of these items in your warehouse.

‎What are the costs of stockouts?‎

Out of stock costs retailers and online store owners a lot, especially since there are additional hidden costs due to this problem. Here are the most important costs related to stockouts:

1. Lost revenue

Which represents lost revenue, i.e. lost revenue as a result of the unavailability of products at the time of request, and thus the loss of its own profit.

Which may lead to the loss of customers in addition to other large losses in sales. And you can rely on the following mathematical formula to determine out-of-stock losses:

• Cost of stockout = [Number of Days Out of Stock*Average Units Sold Per Day*Price Per Unit or Profit Per Unit].

2. Frustrate customers and give them a bad experience

Customers get frustrated when they find the items they want to buy are out of stock, which makes them look for the product with your competitors.

3. Destroy your reputation and your brand

Stock outs affect how loyal customers are to you and your brand, thus negatively affecting your brand as well as harming your reputation in the market.

4. Increased operational costs

This is because you purchase the product that is sold out and ship it quickly, and therefore incur additional expenses for express delivery fees.

How to Reduce Out of Stock Conditions

There are many techniques to reduce out-of-stock situations, including controlling demand through pricing.

Also, having sufficient stockpiles for high-demand products, and dealing with additional suppliers can help reduce stockouts.

In the next paragraph, we will present a number of effective solutions and methods that help reduce and avoid the stockouts problem.

‎How can retailers avoid running out of stock?‎

There are several solutions that can help retailers and e-store owners proactively avoid stockouts.

Which helps in gaining customer satisfaction and avoiding costs related to the stockouts problem.

And the following are some of the most prominent of these solutions:

1. Predicting customer demands more accurately

Predicting customer demand more accurately can help you avoid this problem greatly.

And you can rely on performing ABC analysis to provide accurate forecasting about customer demand.

Taking into account the lead time between placing orders and receiving them, you can measure that lead time by examining previous purchase orders from specific suppliers.

2. Automation of stock replenishment processes

This is based on modern technologies and tools such as Radio Frequency Identification (RFID) technology.

Radio Frequency Identification (RFID) technology stores and tracks product information in order to maintain accurate inventory.

3. Control of demand through the use of pricing

The law of demand in economics generally states that the higher the price, the less the quantity demanded of those products.

And therefore you can control excess orders by raising the price of the product, and thus reducing the number of people who want to buy it.

But be sure to re-price appropriately, so as not to completely destroy the demand for this product and lose your customers.

4. Having backup suppliers

Having back-up suppliers can help you avoid this problem, who will help you in case of larger sales or sudden change in demand.

5. Improve your safety stock

It is one of the important things that must be taken into account with regard to avoiding the problem of running out of stock.

Which will serve as a reserve stock available for a specific item in the event of a sudden increase in demand for it.

‎How do shoppers react to out of stock?‎

In fact, customers deal with the stockouts problem very negatively, and this is mainly because this problem makes them very frustrated.

Customers tend to avoid dealing with the store again and lose confidence in it, or go towards competing customers and deal with them.