What is a Freight broker
Freight brokers are the vital link that bridges the gap between shippers and carriers in the transportation market. They are responsible for the movement of goods from one point to another in the most efficient way possible. This encompasses a variety of activities, including arranging for competitive rates, managing shipments, and overseeing the whole delivery […]
A Guide to Inventory Turnover Ratio
What is Inventory Turnover? Inventory Turnover, often referred to as the Inventory Turnover Ratio, represents how well a company manages inventory by balancing units sold and on hand. Efficient Retail Inventory Management ensures smooth supply chain operations and operational efficiency, supported by strategies like Just In Time Inventory and ABC analysis in Inventory Management. What […]
FSN Analysis in Inventory Management
What is FSN Analysis in Inventory Management? FSN (Fast-Moving, Slow-Moving, and Non-Moving) Analysis categorises inventory into fast-moving, slow-moving, and non-moving items based on consumption rate and issuance frequency. This enables better stock control and supports practices like Just-in-time Inventory Management, helping businesses maintain an optimal inventory flow and resource allocation. How does FSN Analysis Work? […]
What is LTL Shipping?
What is LTL Weight? LTL (Less-Than-Truckload) shipping consolidates cargoes from different companies into one truck, making it ideal for freight between 150 and 15,000 pounds. Businesses can use an LTL Shipping Calculator to get accurate freight shipping quotes, optimising cost and efficiency within the supply chain. How does LTL Work? LTL freight shipping combines partial […]
What is First Mile Delivery?
What is First Mile Delivery? First mile delivery is the initial stage in the supply chain process that involves the Transportation of goods from a supplier to a warehouse or distribution centre. This stage is crucial as it sets the groundwork for seamless logistics, ensuring that first mile delivery service is both timely and efficient. […]
What is Material Requirements Planning (MRP)?
What is Material Requirements Planning? Material Requirements Planning (MRP) is a system used in operation management to determine the necessary materials and components for manufacturing. It assesses inventory levels, identifies additional material needs, and schedules production or purchase to ensure resources are available just-in-time. What is the difference between MRP and ERP? MRP focuses specifically […]
What is Reorder Quantity Formula?
What is Reorder Quantity? Reorder Quantity (ROQ) is the inventory amount needed when stock reaches a certain threshold, balancing demand, average lead time, and safety stock. The Reorder Quantity Formula optimizes ordering frequency, using reorder points to maintain stock levels and reduce holding costs. What is the Reorder Quantity Formula? The Reorder Quantity Formula, or […]
What is Inventory Shrinkage?
What is Inventory Shrinkage? Inventory shrinkage occurs when the physical stock on hand is less than what’s recorded in the inventory system. This inventory shrinkage definition is a crucial concept in retail inventory management as it impacts businesses relying on accurate stock counts for efficient operations, customer satisfaction, and profitability. Why is Reducing Inventory Shrinkage […]
What is Logistics Management?
What is Logistics Management? Logistics Management is the strategic coordination of goods movement and storage, optimising resources across sourcing, planning, transportation, and inventory. The logistics management meaning highlights its role in maximising profits while meeting customer needs efficiently. To learn logistics management, understanding these components is essential for seamless shipping and logistics. Importance of Logistics […]
What is Economic Order Quantity?
What is Economic Order Quantity? Economic Order Quantity (EOQ) defines the ideal order quantity that minimises the costs associated with ordering, receiving, and holding inventory. It assumes constant demand and cost factors, making it less adaptable in dynamic inventory systems like vendor managed inventory and just in time inventory. When is Economic Order Quantity High […]
