Trouble moving surplus stock

Mathew_P

New member
Hi,

I am looking at suggestions on how to significantly minimize my stock holdings of shipping containers in Sydney, Australia. I need to put together a strategy to distribute from Sydney to other branches across Australia without affecting the bottom line too much.

Appreciate some input and assistance.
 

TopLink

Forum Founder
Staff member
Re: Trouble moving surplus stock

Do you own these shipping containers? Why would you want to move empty containers. Can't you just dehire them?
 
Re: Trouble moving surplus stock

Please check this it may Help you a lot .........

Excess Stock is a term used in inventory management, and is often called a number of different things; overstock, stock surplus, excessive stock, or excess inventory. No matter what you call it, one thing that remains constant is the threat excess stock represents to your company’s bottom line.

Companies that carry excess stock levels in their inventory typically find that the issue was caused by poor management of demand forecasting and replenishment or not properly tracking the life-cycle stages of a product.

Excessive stock levels come with many different cost considerations that organizations should be concerned about. First off, there is lost revenue associated with products being in inventory with little market demand. There are company dollars tied up in capital that is directly linked to the original purchase of the goods and there are associated costs to storing the inventory, sometimes referred to as “carrying costs”.

Carrying costs add up quickly across a number of different factors including, rent or mortgage payments, equipment costs, labor cost, utilities, insurance and interest that accrues on stock that has not been sold.

Excess stock is best classified as a declining stage of the product life cycle, which is represented in the graph below. There is typically demand for the product, but it is beginning to phase out and organizations that do not actively monitor the demand stages of all their individually stocked items run the risk of getting stuck with a large quantity of excess stock due to poor reorder or replenishment practices.










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