What is the importance of stock control?

TO MAINTAIN REQUIRED STOCK AND AVOID EXCESS STOCK

 IF WE ARE GETTING EXCESS STOCK THE PRODUCT WILL GET EXPIRE AND IF WE HAVE NO REQUIRED STOCK IT WILL AFFECTS THE SALE

Stock control involves planning, organizing and controlling the procurement, storage and usage of material for achieving the objective of efficiency and economy. Material control ensures proper functioning of the following operations;1. Purchasing of the material2. Receiving of the material3. Inspection of the material4. Issuing of the material5. Maintenance of inventory records

To control a store you need to:

1- Confidence employees

2- Follow-up officer

3- Stock Controller.

4- System adminstrator.

5- Double check and Matching between  Excel sheet & System.

6- Daily report.

7- weekly inventory.

Mr. Ahmad,

As per your question i hope to shine some light with this brief answer that by my opinion contains most simplified definition of stock control relevant to your query.

Stock can mean different things and depends on the industry the firm operates in. It includes:

Raw materials and components from suppliers

Work in progress or part finished goods made within the business

Finished goods ready to dispatch to customers

Consumables and materials used by service businesses

In order to meet customer orders, product has to be available from stock – although some firms are able to arrange deliveries Just in Time, see below. If a business does not have the necessary stock to meet orders, this can lead to a loss of sales and a damaged business reputation. This is sometimes called a ‘stock-out’.

It is important therefore that a business either holds sufficient stocks to meet actual and anticipated orders, or can get stocks quickly enough to meet those orders. For a high street retailer, in practice this means having product on the shelves.

However, there are many costs of holding stock, so a business does not wish to hold too much stock either.