On-demand Inventory vs. Just In Time

noreply@blogger.com (Warehouse Services) — Mon, 02 Jun 2008 17:55:00 +0000

Most companies use an inventory system best suited for their company.

No company wants a break in their inventory system that would create a shortage of supplies. Having a trusting supplier relationship means that you can rely on goods being there when you need them in order to satisfy the company and keep the company name in good standing with consumers.

Just In Time
The Just In Time (JIT) system promotes the delivery of product directly from the factory to the retail merchant, or from parts manufacturers directly to you, without the use of warehouses. JIT requires you have a significant up-front financial investment of software that allows you to send signals to the manufacture to produce and deliver a new shipment as material is consumed. These signals must be tracked through the replenishment cycle and bring visibility to both suppliers and buyers.

Although JIT has some benefit, the major problem with the Just In Time system is that it leaves the supplier and downstream consumers open to supply shocks and large supply or demand changes. Both can be costly and risky for your business.

On-demand Inventory
On-demand warehouse inventory management makes it easier for customers to do business with you. It means they have the right item in the right quantity at the right time at the right place for the right price.

The direction and tracking of materials in the warehouse is coordinated by a single Warehouse Management System (WMS), a database driven computer program. The WMS is used by logistics personnel to improve the efficiency of the warehouse by directing putaways and to maintain accurate inventory by recording and reporting warehouse transactions for customers anywhere.

The benefits of a On-demand Inventory and Warehouse Management Solution include, but not limited to;

Keep precise control of your inventory
Avoid significant up-front financial investment
Buffer uncertainties in demand, supply and shipping
Bulk buying, movement, storing, and economies of scale
Reduce lag in shipping of products in supply chains

Successful on-demand inventory begins with a short consultation to determine specific organizing and planning of your goals. What's more, choosing an on-demand inventory management solution, there is no hardware to buy, no software to install, and no network to setup.

About the Author: Warehouse Services - Servicios De Almacen (WHSSVC) is a Dallas-based On-demand Inventory and Warehouse Management Solution. We serve industries and manufacturers throughout North America with the capacity and resources to deliver on time anywhere. At WHSSVC we strive to continually provide best in class logistics offering clients inventory warehousing, fulfillment, shrink wrap bundle pack, labeling, sequencing, light assembly, weights and measures. Our warehouse is fully sprinkled, security monitored 24HRS, high dock for loading/unloading, and we utilize all major freight lines/parcel services.

Directions: Warehouse Services - Servicios De Almacen
500 South Good Latimer, Dallas, Texas 75226
(214) 939-0082 main (214) 747-2618 fax Get Driving Directions

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On-demand Inventory vs. Just In Time