Discover what are the 7 stock control methodologies in manufacturing and how OptiProERP can help businesses optimally maintain their stock.

1. Stock Control So ware for Seven
Stock Control Methodologies
Every manufacturer endeavors to protect its company from
ge ng affected by the fluctua ng demand of customers.
Maintaining the right quan ty of stock in the warehouse can
help businesses improve sales, prompt
delivery and fulfill the order on me.

2. STOCK CONTROL
METHODOLOGIES
Just-in- me
FIFO (First in First OUT)
ABC Control
Two-bin inventory control
system
Three-bin system
Set the stock level
Order-cycling system
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3. Just-in- me
Just-in- me is a stock control
methodology that focuses on elimina ng
the unnecessary storage cost by acquiring
goods from suppliers a few hours before
it is required. And in case the demand is
more, manufacturers make sure to raise
the inventory for order fulfillment.
Reduces inventory management cost
Requires minimum space store goods
Smaller investments in the stock

4. FIFO – First-In-First-Out
First-in-first-out, as the name
suggests, goods that are procured
first have to be shipped first. In
other words, the oldest inventory
items are sold first. This method
is used in industries dealing with
perishable goods. Example:
packaged consumable products.
In discrete manufacturing, FIFO
methodology is used to avoid
product obsolescence.

5. ABC Control
ABC Control or selective inventory
control is an inventory method in
which inventory items are classified in
different groups, as per its value.
Category A: This includes the most
valued goods in the company which
contributes approx. 80% of sales.
Category B: Less valued or moderate
valued products.
Category C: Low valued inventory
items. These products contribute the
least to the company.

6. Two-bin inventory
control system
In this methodology, there are
2 bins that are loaded with
goods for delivery. When bin A
is ac ve and is used to deliver
goods, the la er bin stocks the
remaining items. When the
stock in bin A emp es, bin B
becomes ac ve and is used to
fulfill the customer orders.

7. Three-bin system
It’s a system in which inventory is
divided into three bins where the
first two bins store the majority
of running stock and the last one
comprises the safety stock. This
inventory management method is
typically used for low valued
stock

8. Set the stock level
This method focuses on “Be prepared for
the worst and an cipate the best” policy.
Manufacturers should set the minimum
and maximum level in the inventory and
refill the stock mely to avoid overstock
or understock.

9. Order cycling system
Let’s you check your inventory at
regular intervals and reorder products
which are likely to be run out in the
next cycle. If the manufacturer fails to
set the reorder, then stockout
situa on can arise.

10. Op ProERP for Manufacturers
At OptiProERP, we endeavor to maintain your
inventory stock optimally by offering accurate,
real-time inventory information. With
comprehensive inventory control features and
tools, we ensure that you never run out of stock or
are concerned about overstocking. Find out more
by reading our blog “7 Stock Control
Methodologies Manufacturers Should Practice.”