What Are the Most Common Inventory Management Mistakes?

​The most common inventory management mistakes include:

• Carrying excess inventory. Carrying too much inventory will result in higher carrying costs, demand for more warehousing space, and longer times between completing picks.
• Failure to understand inventory needs. Not understanding inventory needs will result in over-ordering or under ordering, contributing to backorders and upset customers.
• Lack of optimized picking paths. Optimizing picking paths results in more orders fulfilled, less stress for workers, improved transit times between picks, and more.
• Using paper-based systems and processes. Deploying technology to track and apply data provides continuous improvement and eliminates the risk of human errors in paper-based systems.
• Poor housekeeping. Even poor housekeeping can harm the health and safety of your employees, further reducing accuracy in order fulfillment and leading to more excess inventory.
• Neglecting inbound processes. Inbound processes have a direct effect on inventory levels, and failure to streamline inbound management will result in poor visibility throughout your inventory.