Types of Stock Programs
A good supplier will offer stock programs to help customers manage their inventory. A recommendation for a stock program will require you and your supplier to have an in-depth discussion on how you use your inventory, where you struggle with inventory management, and if you have supply-chain issues. Talk to your supplier to see if they can offer a custom solution. Types of stock programs are:
Vendor Managed Inventory, VMI
This stock program fully engages your supplier to manage all your inventory. The supplier will count inventory at pre-determined intervals, and they will stock your racks to ensure you always have what you need. All the details will be managed for you, giving you more time to focus on projects.
Onsite Visits with Inventory Focus
This stock program is easy-going between you and your supplier. With this program, you typically walk along with your supplier and point out items you need in your steel racks. It doesn’t involve a lot of time, but to adequately manage your inventory, a supplier will recommend you schedule a visit on a set time schedule based on your usage.
A just-in-time inventory program is when your supplier holds stock for you and releases it on specific dates/months. You must provide a release date so the specified products and quantities can be delivered when needed.
This stock program can be helpful for companies that assemble or manufacture products and require different parts or bundles. They may need parts A, B, C, or D. The supplier will mark the product part clearly so you can use it correctly in its application.
Dedicated Stock Program
A dedicated stock program is when the supplier holds specific stock for you. The stock item could be a regular product typically sourced by the supplier or a special product that is not, like brass or copper. There could be some considerations by the supplier to hold special products they typically do not offer.
High Volume Production Cutting
The steel product is cut to size, packaged, and labeled as required in large volumes. Often, the vendor partners with the client to take on work when the client is overwhelmed or inundated with work and can’t keep up. The vendor will take on processing some or all the parts to keep up with production.
To receive a Stock Programs Sheet from Steel Cities Steels click here!
What is the purpose of a stock program?
The primary purpose of a stock program is to resolve an inventory issue. In most cases, inventory management can be a burden due to the lack of time, access to inventory by different departments, storage, and supply chain issues. A stock program can reduce errors and mistakes, which cost time and money. If you are struggling to manage your inventory or your supplier has yet to offer assistance, you must talk to professionals who can help.
Steel Cities Steels can possibly offer a tailored stock program to fit your needs.
Steel Cities has served customers for over 70 years, helping companies manage their inventories through stock programs. Our experienced sales representatives will take a deep dive into your inventory issues and work with you to find a solution to manage inventory. We handle the details so you can focus on your projects! Call us today!