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I agree that most small stores could benefit from a "just-in-time" inventory system, but I'm not sure it could be styled after Walmart's. The key to their succ
by ABrandt 17y ago
I agree that most small stores could benefit from a "just-in-time" inventory system, but I'm not sure it could be styled after Walmart's. The key to their success is the massive quantities they move, as well as their network of delivery trucks. Essentially each semi is treated as a mobile warehouse stocked with a variety of carefully picked products. So instead of having cash tied up in inventory that may or may not sell, any one store can pull items from a truck as soon as they are sold off the retail floor.
As an example, I work at a "mom n pop" style mattress store that has 19 locations throughout the Midwest. We essentially have one main warehouse and two delivery trucks to cover the entire state of Illinois. Wednesday is the only day of the week that I can get any kind of inventory, and even then I'm unlikely to get everything I requested.
With that being said, I do believe that a simple web interface that could track the flow of our inventory through our network of stores could greatly improve efficiency. Even though every individual item is carefully tracked manually, I still have no easy way of identifying where I could potentially pull a particular model or size from to serve my customers. To find that information, I have to literally get on the phone and call each store individually to inquire about what they have. An automated system would certainly be welcomed, the question is only how. Could be a hard sell to a company that still relys on dial-up and fax machines...