Today’s rapidly changing customer needs, global demand, and shortening product life cycles are making forecasting and inventory management more and more difficult. Organizational conflicts often arise across the enterprise with regards to who is accountable for inventory costs and responsible for inventory strategies, policies, and procedures.
Sales and field operations rely on inventory to meet customer demand by avoiding stock outs and meeting guaranteed service levels.
Supply Chain is focused on optimizing inventory levels, carrying costs, supplier lead times, and accuracy meeting operational metrics.
Finance is responsible for ensuring a healthy balance sheet, managing working capital effectively, and accurate financial reporting.
Addressing inventory challenges within functional siloes is too reactionary and prevents the organization from actively addressing the root causes. Inventory issues should not be solved as a cost problem, but as an enterprise wide solution that positions the company to effectively meet customer needs and provide returns to shareholders. Read More