Does your inventory and record keeping fight like your mom and dad used to? Take a seat on the couch and share your feelings as James Shores talks reconciling, and whether you should make-up or move on.
Hi, this is Whiteboard Wednesday, I’m James, the in-house love expert at Fishbowl—go ahead and ask.
Today we’re going to talk about relationships, and no, not the kind at work that are going to get you fired, and probably thereafter followed by a civil suit, those are legally messy.
We’re going to talk about the relationship that your inventory has with your paperwork. And let’s talk about reconciling, and if we should kiss and make-up.
Now, as you can tell from this very detailed graph, equation, whatever you want to call it, if your inventory is not happy, if your inventory is sad, there’s probably a good chance that your paperwork doesn’t match what your inventory says is there, and it’s going a little crazy.
So what are some of the things that can cause this?
Well, maybe we need to RECOUNT. We need to count how much is on the shelf, we need to count how much is on hand, according to our paperwork.
We might need to look at the UNIT OF MEASURE. Maybe someone put something in as pounds and really it’s in kilograms, and it’s throwing off these two items.
Maybe we need to look at our PART NUMBERS. Someone logged in part number 22A, and we are really needing 22A.1.
We need to look at our PAPERWORK. What did we receive with our delivery, what did we send out with our shipments, does it all match? There’s some kind of inconsistency because, again, our inventory is sad because our paperwork has gone crazy.
Maybe it’s been accounted for in SCRAP. We had a certain amount, it went into the manufacturing process, we had a few leftovers that couldn’t be used or re-distributed, we scrapped it, and someone didn’t account for it in the paperwork.
Or, could be a matter of OWNERSHIP. So you have a part that was sent out to a customer, or you’re waiting on a delivery, and again, it was improperly logged in your paperwork as either already received, already sent out, maybe you still have it, maybe they now have it and you can’t keep record of what to do.
So this is some of the ways that you can work in making sure that you can reconcile this relationship… or do you really want to do that? Do you really want to kiss and make-up, this old system? Or maybe it’s time that we get rid of the old and look for a new fish in the sea, because with all of these, if you’ll notice it’s on this nice piece of paper—it’s time to tear it out.
We need something that’s an automated solution to deal with all this.
With a recount, if everything is part of an automated software solution, it’s already been scanned in, we know how much we have, how much is on hand, and that dynamically changes according to how much we use or how much we ship out.
With the unit of measure, again, it’s already logged into the system. You’ve got a barcode scanner, you scan it, we’re not going to suddenly confuse ounces for liters because, well, all the measurements, all the info, is already a part of that, either batch, part of that part, wherever we’ve scanned that information. Part number, exact same thing.
Paperwork. There is no more paperwork. We’re dealing straight with an automated solution. We can look up anything we need from a central hub, it’s there, we don’t have to search for it.
Scrap. We know exactly where it went, how much was used, and it’s already accounted for. We don’t need to go searching, we don’t need to double-check our paperwork, because again, the paperwork is gone.
Ownership. This is a really good one to use. Again, with an automated software solution because we know what we’ve sent out, we know we’ve received, and it’s all accounted for, it’s been logged. When we do our picking, packing, shipping, again, it’s scanned, and it dynamically changes in our softwares solution.
So, when it comes to your relationship with your inventory and your record keeping, with your accounting system, all that that’s tied together, do you really want to kiss and make-up with the old ways? It’s just a mess.
Or, do we want to add an automated solution, plus our inventory, plus a barcode scanner, and find true love? Believe me, like I said, I’m the in-house love expert at Fishbowl. Anyone will tell you.
That’s this Whiteboard Wednesday, I’m James, and I love you.