DALLAS, Jan. 8, 2013 /PRNewswire-iReach/ -- A company in the Dallas area has developed an interactive calculator that can estimate how much money you may be paying to carry excess or slow moving inventory.
While many CFO's know that carrying excess inventory is costing their business money each and every day in terms of missed opportunity costs, labor, interest, fixed overhead and other costs, it can really be an eye opener once they start inputting numbers, specific to their business, and start estimating how much money they actually are spending on slow moving inventory with the inventory cost calculator.
To use the calculator, you simply put in inventory and sales data as indicated into the calculator and it calculates your yearly carrying costs for those variables. The exciting part is that it is real time, so you can tweak the variables and see how that affects your financial burden of excess inventory.
The Inventory Cost Calculator is free, but only available upon request via email to firstname.lastname@example.org
Slow moving and excess inventory is a huge investment
Holding inventory is a financial burden and a definite negative impact on your corporate bottom line.
What is the real cost of holding onto inventory? Is it 20%, 30%, 40% or more?? Recent studies indicate that in many companies the carrying cost is no more than a guess, or a number given to them by accountants or other sources.
How does holding onto inventory cost me money?
When inventory doesn't sell, you are incurring more interest charges on the money invested.
Jurisdictions tax manufacturers' inventory
Insurance premiums cover replacement costs of inventory on hand.
Operational and Maintenance costs are incurred every day. If your warehouse is full of slow moving inventory, what will you do when you run out of space? Your slow moving inventory is taking up space and using resources that could be used on inventory that could be enhancing your customer service, gain market share and make you money.
The cost of supporting hardware should also be considered: forklifts, scales, bins, and racks.
Your inventory is depreciating as it sits there month after month. But the cost to house it is appreciating month after month.
Time and Personnel
Include Inventory and Warehouse managers, stock keepers, material handlers, cycle counters, planners,and controllers.
GPS Inventory Solutions headquartered in Texas, offers a proven successful unique program called an Inventory Bank. The program reduces your cost of carrying excess inventory, while still having the parts available on an as-needed basis for customer service or production needs GPS is not a liquidator and we do not recommend scrapping your inventory or selling it to third parties where you lose control of your brand. This type of action is the first step to recreating more excess and slow moving inventory. After using the calculator to assess your situation, contact us for a detailed, no obligation presentation of how our INVENTORY BANK can work for you.
GPS Inventory Solutions, Inc
Toll Free: 800 896-0477
Phone: (972) 552-1001
Fax: (972) 552-4446.
Media Contact: Jason Baird ViralMarketing.biz, 9727629910, email@example.com
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SOURCE GPS Inventory Solutions