Category: Shop Management, Inventory, RFID

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Bad Inventory = Bad Manufacturing

bad inventory

Here’s How To Fix It

Inventory can be the root of all evil when it comes to issues on the manufacturing shop floor. Often when you can’t track your inventory accurately, it’s due to not having a good system in place.

Without a fully-integrated ERP software, your inventory will get lost, misplaced, mislabeled, taken out or not logged in correctly causing jobs to be late, unhappy customers, over-purchasing, expedited shipping charges to make up for those missed shipments, and more. The list of production woes tied to poor inventory management goes on and on, and at the end of the day you can only guess at your true inventory costs.

Getting Inventory Under Control

Having the ability to track every aspect of your material – from detailed inventory data to bill of material (BOM) cost buildups – is standard with an ERP system. By turning inventory and materials management from a manual to a mostly automated process, you can save time, cut costs, and track your inventory with remarkable precision.

To get started, barcode all incoming materials so they’re instantly and automatically logged into inventory. Once a part or material is entered into the system, you know where it is at all times. Your inventory is always accurate and up to date. You always know what you have, how much, and where it’s located. And you know exactly what it costs.

Secondly, simplify material ordering to better manage supply. Integrating your shop floor with an ERP system allows your management team to integrate you material ordering system with your inventory and actual usage. This prevents missing order deadlines and keeps your production moving.

Read my “Simplify Your Business with Near-Perfect Inventory” whitepaper for other tips on how to manage your inventory the smart way.

It’s time to stop saying “I can’t figure out my inventory”.  I’m here to help.

David O’Dell is a Senior Operations Consultant for Global Shop Solutions with over 25 years of manufacturing and ERP software experience. His eBook Knowing Your Cost of Manufacturing can be purchased on

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