Varastonhallinta pk-yritykselle: perusasiat ja yleisimmät virheet

Inventory management directly affects a small business's cash flow: too much stock ties up money, too little leads to lost sales. In this article, we'll go through the basic practices of inventory management, common mistakes, and how an ERP system helps.

Impact of balances on money

Inventory balances have a direct connection to cash flow:

Too much inventory: capital is tied up in products that are not moving. Storage, spoilage, and obsolescence costs increase.
Too little inventory: delivery delays, lost sales, and dissatisfied customers.
Wrong type of inventory: there is stock, but not what customers want.

The goal for a small business is the 'just right' inventory level: enough to meet demand, but no more than necessary.

Basic practices for effective inventory management

ABC analysis: categorize products by sales. A-items (20% of products, 80% of sales) require strict monitoring. C-items less so.
Reorder points: set a minimum level for each product at which an order is placed. This prevents stockouts.
Regular inventory: physical count at least quarterly. Balance errors are found and corrected.
Supplier management: agree on delivery times and minimum orders clearly. Long delivery times require a larger safety stock.
FIFO principle: oldest products are sold first (First In, First Out). Reduces spoilage.

Benefits of an ERP system in inventory management

Eemel ERP brings automation and transparency to inventory management:

Real-time balance tracking: see immediately how much of each product is in stock
Automatic alerts: the system notifies you when a product is running low
Sales and inventory connection: a sales order automatically reduces the balance
Reports: slow-moving products, spoilage, and turnover rate are clearly visible
Integration with accounting: inventory value is always up-to-date on the balance sheet

Lire la suite about ERP's project management in our project profitability article.

Monthly checklist for inventory management

"Check the balances of A-products and order if necessary"
"Go through alerts – are products running out?"
"Examine slow-moving products – should they be discounted or removed from the selection?"
"Check supplier delivery times – have they been met?"
"Conduct a small-scale inventory for at least A-products"

"Practical example: online store and overstocking"

"A small online store ordered products 'to be on the safe side'. The warehouse had several months' supply, and capital was tied up in products, some of which were slow-moving."

"Eemel ERP inventory management implementation:"

"ABC analysis revealed that 15 products accounted for 75% of sales"
"Slow-moving products were sold at a discount – capital was freed up"
"Alert limits prevented A-products from running out"
"Capital tied up in inventory significantly decreased in six months"

"Try it in practice"

"Eemel ERP's inventory management provides a real-time view of balances, alerts, and turnover rate. Keep inventory levels optimal."

"Try 14 days"

"Frequently Asked Questions"

"What is ABC analysis?"

"ABC analysis categorizes products based on sales. A-products (20% of products) account for about 80% of sales and require close monitoring."

"How often should inventory be done?"

"At least quarterly, monthly for A-products. Eemel ERP facilitates inventory with balance comparison."

"What does alert limit mean?"

"An alert limit is a product's minimum level, at which the system indicates that more of the product needs to be ordered."

"Does inventory management integrate with accounting?"

"Yes. Eemel ERP automatically updates the inventory value to accounting."

"Can Eemel ERP be used without inventory management?"

"Yes. Eemel ERP is modular – you can use only project management, only inventory management, or both."

"Sources"

"This article is general in nature and does not constitute legal advice."