In today's economic and business environment, cash is king. The critical importance of cash in businesses continues to rise. One just has to read the news to see cash highlighted on a daily basis in relation to several high profile companies - GM, Chrysler, MGM Mirage, GE Capital etc. [...]
Businesses continue to cut back as the economy continues to worsen - seemingly every day. Cutting costs in a reasonable and smart manner is required; however, cost cutting alone rarely achieves success. As one of my mentors used to say, the best problem to have is a cost problem [...]
Prepare, prepare, and prepare: 80% of your success is in preparation. Organize the warehouse, clearly mark areas, label exceptions, complete and review system transactions, etc. Stop / isolate movement: When you begin your physical count, stop all physical and system movements and transactions. This is a critical foundation - [...]
My procurement mentor exemplifies "profit through people" and can achieve more on a golf course in 2 hours than an entire team of Harvard MBA's could achieve in a year. He took all the complex terminology, confusing pricing indicators, economic trends and world events and turned it into a [...]
A few best practices for reducing inventory levels without negatively impacting customer service include the following: Put the "right" people in the "right" jobs - it is amazing how much this one point contributes to success. Managing inventory levels requires a unique skill set - analysis, seeing the bigger [...]
With more and more companies struggling to achieve plan, investor's targets, Wall Street expectations, etc, it appears as though companies are cutting costs (many times, focusing much attention on the "small stuff" such as $100 expense reports etc), asking employees to work longer hours and putting together other triage [...]
Do these hypothetical situations sound familiar? Acme Company has a large, priority customer called Wylie Company. Acme must service Wylie flawlessly to maintain the contract, so to ensure stock is always available when Wylie needs it, Acme agrees to a guaranteed safety stock level for Wylie. And, Acme ends [...]
The key to effective cycle counting is to not get bogged down in resolving every dollar, but rather focus on the significant discrepancies. The main goal of cycle counting is to cycle through your inventory to ensure inventory accuracy on a consistent basis. (In contrast, a physical inventory is [...]
Exceptional customer service and customer relations can make or break your business. A few tips to improve your customer service include: Focus on providing value - know what your customers' value (service, price, features, lead time, etc). How can you be better than everyone else in providing your customer's [...]
Meant to protect investors and increase transparency in corporate accounting, implementing the Sarbanes Oxley Act takes some organizational introspection. The 2002 Sarbanes Oxley legislation (new, enhanced standards for all U.S. public companies) was established in response to high-profile financial scandals (Enron etc) in order to protect shareholders and the [...]
