Even if you struggle to maintain inventory, you still need a target

We have seen the inventory bullwhip significantly recently, and for good reason. Six to twelve months ago, when the issue was literally, "Get me inventory, ANY inventory!" then supply chain teams were tasked with "By any means possible" in many cases.

Our value add has always been we will tell you the correct TARGET based on all the supply chain factors, and quickly and easily adjust to changing conditions within the supply chain. So having the correct target, even if you don't have the correct inventory for many reasons (supply disruption, transportation, etc), is always our goal and has served our clients well.

If you find yourself with too much inventory lately, you are in good company according to USA GDP numbers noting a drop in gross domestic product due to increased inventory investment, during June of 2022. It’s always important to have a target, so that way when our new chaotic normal in supply chain recovers, you can aim for that target, and you aren’t swimming in inventory.

If you’ve been bringing in inventory, make sure you know when to stop! Do you know your targets?