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Inventory Control Manager

Real-Life Activities

Real-Life Communication

You are the inventory control manager at a department store. You are the first person to ever hold this title. For the first three weeks, you set out to analyze the store's inventory situation.

You find:

  • Items are not ordered until they are out of stock. As a result, customers often leave the store angry -- even those who get rain checks to buy the item on sale at a later time.
  • Some items are overstocked.
  • The point-of-sale system (the cash registers) is not computerized. As a result, occasional and time-consuming inventory checks are relied upon to provide sales information.
  • Stock items are not rotated. Some items in the storage area are several years old, while several shipments of the same product may have come through the store since those items arrived.

Write a one-page memo to the department store's chief executive detailing your recommendations based on the information above. What should be changed?