Times have been tough for businesses across the country. Reduced hours, less customers, adjusted operating procedures. But the world is slowly getting back to normal. And that means soon your automotive shop will be reopening full time (if it hasn’t already).
One of the biggest obstacles when it comes to managing automotive inventories is finding the time (while minimizing operational disruptions).
Your team is so busy with the day to day that it’s hard to reconcile, inspect and organize your parts. Not to mention tedious submissions for warranty and looking for ways to unload obsolete inventory.
But right now is the perfect time to be doing all of this work. While you wait for the business to get back to normal, you can focus on tasks that will improve efficiency and your bottom line.
There are 4 major inventory projects to focus on …
- Mid-Year Reconciliation
An annual inventory count is critical to the success of your business. It confirms your inventory is accurately recorded come year-end and tax-filing season. But regular counts throughout the year can be an effective way to improve management, uncover problem areas and identify ways to improve efficiency.
With the current business slow downs, now is a great time to do a midyear count and come up with effective solutions to minimize losses at year end.
- Warranty Reimbursement
Obtaining retail rates for warranty claims has been an ongoing issue for dealerships, nationwide.
It is time-consuming and if your submission paperwork is not compiled properly, it can affect your customers, your bottom line and your overall success.
Now is the perfect time to get your warranty claims in order and maximize your company’s profits.
- Unload Obsolete Parts
If you have more stock than is required to meet demand or there are older parts sitting on your shelf that will not sell, try to find opportunities to sell it.
This may include accelerating sales through marketing and promotion when you reopen or reaching out to other shops and service centers to see if they are in need of additional supply.
- Inventory Reorganization
Having a well-organized and effectively managed automotive spare parts inventory plays an important role in ensuring efficiency, productivity and customer satisfaction in the parts and service departments.
It also helps parts staff plan better, reduces the chances of ordering parts that are already in stock and helps minimize obsolescence.
More importantly, an efficiently organized inventory system reduces costs and maximizes your position.
With time to spare and hands looking to keep busy, it could be a great time to reconsider whether your storage and organization processes are setting you up for the greatest success.
Working with limited staff or need the expertise of professionals who have been optimizing automotive inventories for years?
Call us today. Our team of inventory management professionals would be happy to help you reconcile and organize inventory, as well as offload excess inventory and submit warranty reimbursements so that your company can optimize cash flow and set yourself up for greater success for when business gets back to usual.
Tags: Auto Parts Inventory