Top 3 Most Expensive Franchise Inventory Errors (and how to avoid them!)
Inventory errors are some of the most damaging mistakes franchise owners can make. Mishandling your analyses can lead to supply spoilage and shortages, failed marketing campaigns, and even seasonal staffing oversights.
And while that sure sounds scary, it should also get you excited about the fixes proposed here, as a few simple changes can radically improve those same aspects of your business.
Today’s post spotlights 3 of the most costly franchise inventory errors, then shares some software solutions that can automate and foolproof one of the most critical parts of your business.
1-Subpar performance measurements
When it comes to fixing performance issues in your company, “knowing is half the battle,” but spotlighting the problem isn’t enough if no standards are in place. Without consistent metrics for customer service, inventory turns, and warehouse efficiency, you’ll have no way of measuring progress, reducing your problem-solving efforts to mere guesswork.
While possible to measure performance manually, it’s a painstaking process with a steep learning curve – exactly the kind of project you don’t want to take on when performance is already lagging.
If you find yourself in this position, updating your franchise management software might be the answer. Customer Relations Software (CRM) lays system-wide key performance indicators (KPIs) out in customized dashboards and intuitive reports that can be accessed in real-time. It’s easy to use, mobile-friendly, and fully supported, and options are out there to fit any budget.
Accurate inventory management typically relies on qualified employees. Hiring the right people isn’t easy, so your best bet is usually to emphasize training from the start. But if you haven’t done that – or you lack that training yourself – Entreprise Resource Planning (ERP) software can help.
Rather than committing time to high-level training, you implement ERP software to simplify all aspects of the inventory process. The intuitive, beginner-friendly software and emphasis on automation make it all relatively easy to manage, while more advanced users can access more dynamic features to help push them past the competition.
FranchiseSoft lets franchises optimize inventory levels and supply chain effortlessly, keeping them connected to the supplier chain and basing purchase orders on min/max inventory levels. Our software also simplifies inventory analysis and planning. Individual franchisees can access inventory records and historical data from anywhere, making it easy to review seasonal trends for better planning and promotion.
3-Missed opportunities to automate.
If you’re still using a tracking your stock manually on a spreadsheet, you’re wasting valuable time on data entry work that could be used to grow your franchise instead.
Moreover, manual spreadsheet entry usually isn’t very conducive to sharing and collaboration. In contrast, automated systems let multiple employees track items across several locations in real-time.
But worst of all, manual entry is unreliable. Research shows that even highly proficient data entry operators average 1 mistake per 300 characters inputted – that might not seem like much, but a few accidental keystrokes can put your stock estimates off by hundreds or thousands.
Our Entreprise Resource Planning (ERP) software automates most inventory processes, and consolidates data into fat-free reports to give you newfound planning power.
Would you like to book a demo?
Drop us a line and have a rep set something up for you. Please visit https://franchisesoft.com/about/request-a-demo/ and fill out the contact form to set up a walkthrough with one of our specialists. We’ll be happy to answer any questions you may have.Back