Let's Talk Back in August we sat down with our CEO of Operations and our East Coast Operations Manager to discuss the most important things to consider when choosing a crimper. The response we had to that article was overwhelming. We then had an influx of people wanting to know how much stock does a business need to hold for their crimper?
So, to ensure your questions were answered, I tracked the boys down to have a chat. We all know that too much stock on the shelf is a liability. Hose has a limited shelf life; storage space becomes a premium and cash flow can be affected. However, it is essential to have a good stock holding of the basic A class products. So, what is the right stock to carry?
Location
We have found from experience that different regions of Australia require different stock packages. Whether your customer base is agriculture, mines or civil, your stock package is going to change. So, get to know your customer base.
Data
We also understand that not everyone has great access to historical data or the most capable systems in place. This is the place where we can help. Previous sales data can easily produce monthly usages that can utilise to create min/max stock holdings. This can then be used to create a good stock base that can be expanded on as needed.
Reputation
As downtime is money, the end user will always go back to the person who had the parts they required to get them going and believe me, they will remember those who didn’t. So, finding that balance of having the right A class product and enough ‘get out of trouble’ items is key.
If you are remote, more stock is better. Generate reputation, you want to be known as the person who always has what is needed. In our opinion, relying on freight systems in the current climate is not the way to go. You can almost guarantee that if you desperately need parts the next day then that will be the airbag that gets held up or mysteriously goes missing for a couple of days.
Taipan is always here to help. Our Sales team will listen to your needs and wants to work with you to come up with a stock package that is right for your business. If you have any questions, please give us a call on 1300 654 782.
