Assortment management: Stub out the products burning through your margins
Every year, thousands of people try to give up smoking. When you consider that smoking is both incredibly expensive and hugely detrimental to your health, why wouldn’t you quit? The problem is however that, as habits go, smoking is a difficult one to kick. After all, as soon as you quit, the withdrawal symptoms take hold. Consequently, it’s easy to focus on the absence of cigarettes and lose sight of the long-term benefits of going smoke-free. When it comes to assortment management, businesses face a similar plight!
Like smoking, many business leaders know they are offering products which have a detrimental impact on the financial health of the organisation. However, stubbing these products out is often easier said than done! So what can businesses do to give up bad buying habits and adopt a healthier approach to assortment management?
Make assortment management a priority in 2018!
In the second part of our three-part series focusing on supply chain improvement projects, we explore how you can strategically refine your approach to assortment management.
Through adopting the following 4 simple steps, you will be better positioned to offer your customers the products they want while systematically removing the items put your finances under pressure:
- Analyse your assortment and identify what products matter most to your customers
- Prioritise items within your assortment in order to determine a more strategic stocking strategy
- Establish robust business rules to ensure your assortment remains in line with the corporate objectives of your organisation
- Re-focus your investment, time and energy on the products that add the most value
Download our guide to better assortment management
In order to offer your customers a more focused and valuable range, we have put together a simple guide to better assortment management. Complete the form below to and discover how you could improve customer satisfaction while minimising supply chain costs!
Missed part 1? Check out our guide to shredding obsolete stock
As part of your assortment management improvement project, you may find a number of products are no longer worth stocking. The question is: what do you do with these items? How can you remove them from your operation without any painful consequences?