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    How Can An Agent Keep Inventory Without Backlog?

    2007/11/21 0:00:00 10411

    Goods

    The enterprises that sell and circulate know that the amount of stock that is maintained due to the time is reasonable stock.

    Time is speed and efficiency is money.

    With the rapid development of science and technology, the speed of product upgrading is faster and faster, the market is becoming more and more detailed, and the competition is becoming more and more intense. The demand for customers is becoming more and more difficult to predict and grasp.

    If a large backlog of products occurs, it will not only occupy the company's operating capital, but also waste manpower and material resources, and also increase the management cost and profit cost of the company, lengthen the turnover cycle of the products, reduce the overall profit of the company, and affect the development of the company.

    Keeping reasonable inventory is a very complicated problem, but the former manager of a regional agent in a certain area of Jiangsu has a simple and practical view of the company's inventory.

    1, do a good job in the market, reasonable goods agents to sell certain products, first of all, we must do a good job in market research and market analysis, find out the best selling products in the regional market, according to the company's capital, human resources and inventory capacity, combined with the regional city population, purchasing power and other factors to determine the number of goods.

    Taking the industry of the former manager as an example, the total volume of the market is rising, but there are changes in the demand of various grades. This requires agents not only to have the brand share in the regional market, but also to sell the specific type to a certain type, so as to determine the volume of each type.

    For example, the induction cooker and the high-end induction cooker account for about 30% of the total sales in the area where the original manager is represented. The brand of the former manager can account for 10% of the total, so every time he orders his own agent brand high-end induction cooker, he always keeps 15% of the total quantity demanded. The middle and low duty induction cooker sells well in the original manager area, and the total sales volume is about 60%, and the original manager agent's product can account for 30% of the proportion.

    The increase of this ratio is greater than 10%, which takes account of the factors of market fluctuation and prevents the loss of goods.

    2, run the terminal, understand the elements, the former manager said that a sales company like him should keep reasonable inventory without backlog, which is neither easy nor difficult.

    He has these experiences: first, he himself knows the market in depth.

    In this way, we can not only understand ourselves, but also understand our competitors.

    Better understanding of their sales ability, expand the strategy of the sales market, at the same time, understand the sales ability and market share of the competitors.

    When you have free time, you should understand the existing market and understand the potential market.

    We need to understand the local market as well as the surrounding market.

    As a small and medium-sized enterprise manager, they should constantly exercise their own market research ability and make efforts to do a good job in market research.

    Through in-depth investigation of the market and in-depth understanding of the market, so as to develop a reasonable inventory plan.

    Second, as a grass-roots small business manager, he is directly engaged in specific operations every day. Relatively speaking, the former manager thinks he is more specific about the market, so he has the most say in maintaining reasonable inventory.

    3, monitoring terminal, daily sales agent as agent is to do sales and circulation, different periods such as May 1, eleven, national day, new year's day, Spring Festival and other large traditional holiday, is also a holiday of commodity consumption, consumption is often uncertain, demand is difficult to grasp at a time, coupled with the terminal store purchase and delivery procedures are cumbersome, it is easy to break goods or for a long time can not sell a certain type, resulting in loss of performance.

    Therefore, the original manager asked the subordinates to submit all their terminals' inventory and input to the computer for daily analysis, so as to monitor the daily sales volume of the distribution terminals, and at any time, know the inventory of the terminals.

    4, it is unquestionable that policies should be formulated to speed up the impact of turnover sales policies on inventory changes.

    At the same time, when the general terminal dealer purchases the goods at wholesale price, the original manager will give the phased policy reward, for example, the terminal dealer will reach a certain amount of purchase, or within the quota allocated by the manufacturer, he can enjoy the extra discount or physical reward given by the manufacturer.

    However, the result of the original manager's practice is a large increase in inventory within the terminal distributors and channels, resulting in a backlog of inventory.

    In order to better pform sales incentives into sales results, the former manager changed the past market policy, adopted the terminal sales incentive policy, and inclined the sales policy to the sales terminal.

    At the end, a reward for a certain model will be launched, so that the terminal dealers will not only get the rewards from the manufacturers, but also get profits from the sales.

    This not only realizes the fast digestion of the terminal channel of the product, but also speeds up the actual turnover of the original manager product.

    5, the original manager said that a small agent like him should reduce the stock as far as possible in terms of operation. It is correct from the whole and in principle, and its advantages are: first, reduce the operating cost.

    Less in and less out, quick in and quick out, try to keep zero inventory, reduce capital occupation and speed up capital turnover.

    The two is to avoid price risk.

    Large purchases and high inventories are likely to cause a lot of backlog when the market is saturated and the sales are off season.

    In turbulent times, price risk is needed.

    Low inventory can avoid this risk.

    At the same time, low purchase and low inventory defects are obvious, mainly in the supply is not timely, and even out of stock.

    Secondly, the offline distributors lose initiative.

    Low inventory and low inventory make it impossible for terminal distributors to lose their business initiative.

    Furthermore, it will affect corporate reputation and consolidation and expansion of the market.

    Supply is not timely and out of stock most likely to affect corporate reputation.

    Especially when some old customers are out of stock, they will be misunderstood. They think we are reluctant to sell and wait for the price increase, or that the supply channel of their agent is not reliable, instead of looking for other supply channels.

    The original manager therefore concluded that "low inventory" is not a reasonable inventory, rigid regulations or blindly pursue "low inventory", in fact, it is easy to hit the nail and should comply with the principle of "less in and less out, fast forward and quick out".

    6, pay close attention to and concentrate on clearing the library.

    Every company will have a replacement of the product. The replacement of the electromagnetic oven by the former manager is very fast.

    New products are on sale, and those old products that have been eliminated need to be dealt with by the original manager.

    If the sales staff of the company do not pay enough attention to the old products' clearance, the old products will develop from one to two or even more. They will gradually become a "dead stock", and the product function will not keep up with the trend. Maybe they will never sell.

    So every time a company has a new product to go public, the former manager chooses a good market opportunity on the one hand, and distributes it on the other hand. On the other hand, it will return the old product to the company and sell it centrally, and then implement the fixed point push, so as to thoroughly clean up the sale.

    7, due to the time and place, many enterprises with accurate quotas and sales and distribution enterprises know that the stock that is maintained due to the time is reasonable stock.

    The original manager believes that the following factors should be taken into account in maintaining reasonable inventory: first, geographical location.

    If department stores, supermarket stores, shopping centers and other terminal outlets, we should always maintain a higher inventory.

    And in remote mountainous towns and underdeveloped counties, the inventory will be reduced appropriately.

    Second, seasonal factors.

    If located in the rural township area terminal sales point, busy farm and slack season sales gap is obvious, of course, there must be a gap in inventory.

    Third, some sales special periods, such as Spring Festival, new year's day, national day, may day and so on, the sales volume is different from normal, and inventory should also be different.

    These factors are the main considerations of the original manager in formulating inventory plans.

    Because of the time and the local conditions, the inventory will not go to the extreme, neither the backlog of large stock nor the increase of operating costs, and it is not out of demand.

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