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The Elements of Inventory Planning

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"The Elements of Inventory Planning"

Ignorance of inventory planning represents poor management by large and small companies. What does it take to correctly plan the right levels of inventory for your business?

The 2016 bankruptcy of Australian electronics retailer, Dick Smith Group, continues to be instructive. According to press reports, the company’s administrators highlighted poor inventory planning as one of the key reasons for the group’s collapse. “Inventory decisions … were not consistent with consumer demand, and DSG was ultimately le with a considerable level of obsolete and inactive stock, requiring a major write down.” Ignorance of inventory planning represents poor management by large and small companies. What does it take to correctly plan the right levels of inventory for your business?


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