[8 Inventory Management Techniques] that Will Save You Money

[8 Inventory Management Techniques] that Will Save You Money

Keeping an inventory can be a daunting task for any business. It can be both tedious and confusing, especially if you don’t know how to do it properly. But a proper inventory not only ensures that you keep track of all of your stock, it also provides a way for you to maximize your total income by guaranteeing that all of you stock is sold. While there are a many inventory management techniques out there that can be applied, all with varying levels of efficacy, there are eight basic, fool-proof guidelines on how to manage your inventory well. Here’s what you should know:

Eight Fool-Proof Ways to Manage Your Inventory Like a Pro

Inventory management promises two things: long-term savings and added cash-flow. This applies to all business, regardless of size. But not everyone employs proper inventory management techniques that guarantee visible and efficient results. If you’re a new business who wants to keep up with the competition and ensure a steady flow of profits, or an established business with a stagnant or ineffective inventory management style, here’s eight ways you can do it right, and why:

1. Apply the FIFO Principle

FIFO (first in, first out) is one the cornerstones of a proper inventory. Commonly applied in the food business and in any other setting that deals with perishable products or stock that may expire, it is one of the foolproof ways to ensure that you do not unnecessarily collect stocks that are unsalable. Simply put, the oldest products should be at the forefront of circulation, so they are replenished constantly by newer stock.

2. Be Finicky About Categorization

A business will have to deal with more than just one type of salable item and will have a roster of different stocks of varying demand. Categorizing them in terms of importance (the most sellable being the most plentiful, the least in demand being slated as ‘backorder-only’ or as ‘sold-on-demand’) ensures that you don’t invest in things that will not guarantee you a sure profit.

3. Always Check (and double-check) Your Inventory

It pays to always know what you have on hand, so checking your inventory on a regular basis is a must. Small businesses can usually get away with a yearly or annual assessment of their stocks, although larger businesses can benefit more from a bi-monthly or weekly assessment to ensure that stocks are always moving and you aren’t left with unsellable goods.

4. Set Limitations to Pre-Existing and Incoming Stocks

Set a minimum amount for on-hand and incoming products so you don’t needlessly collect unsalable products. It will require a little work to figure out which products sell fastest, which products sell at a slower rate but still have fast turn-over, and which products aren’t worth stocking up on at all.

contract packaging services.

5. Always Have a Contingency Plan

Sometimes, no matter how much you configure your inventory, there will be unexpected twists due to the unpredictable nature of the market at large. Always be ready for things like unexpected sales spikes, sudden product discontinuation, or product unavailability due to supplier limitations. Backup plans for these scenarios will ensure that a popular and highly scalable product will always remain on the shelf no matter the circumstances.

6. Consider Contract Packaging

If you have a flagship or trademark brand that you produce, consider contract packaging services. Contract packaging services involve outsourcing the production, packaging, and distribution of trademark products so that it appears as though it is produced on-site. This helps avoid stockpiling perishable goods or products with a slow turn-over, while simultaneously maintaining your own brand presence.

7. Digitize Your Inventory

Keeping track of, and updating a manual inventory is a very daunting task. Thankfully, the digital world comes to the rescue. If you want to streamline your inventory to make it easier to update, manage, and check, you might want to go digital. Make use of Cloud-based inventory systems that help to make keeping track of things more efficient. There are a large number of free and paid apps available online that can help you manage your inventory in real-time.

8. Consider Outsourcing

If you find that doing your own inventory is far too bothersome to deal with even with the help of apps, you can always consider outsourcing the task to professionals who will take care of everything for you.

Here at BUILD Industries, we understand the need for reliable, efficient, and versatile contract packaging services. Understanding that our workers are the backbone of the industry, we offer supported employment programs. These make contract packing by disabled Americans in Los Angeles a possibility.

We believe that each individual deserves the right to earn a living to empower their life. Our contract packing by disabled Americans in Los Angeles delivers a higher standard of quality and reliability than conventional services and provides them with a stable and dependable livelihood. For more information on how your inventory and contract packaging requirements can help better lives as we help your business flourish, visit our website.

Robots In Manufacturing

Robots In Manufacturing

Although there will not be a time in the near future when robots will make human labor obsolete, the number of robots in the workplace is only going to increase. At the time of this blog’s posting, there are 74 robots per 10,000 employees working today. The United States has roughly 189 robots per 10,000 employees working. As it currently stands, the United States ranks seventh overall on the planet for the most automation/country with the most amount of robots in the workplace.

According to the World Robot Statistics, “the number of industrial robots deployed worldwide will increase to around 2.6 million units by 2019. That’s about one million units more than in the record-breaking year of 2015. Broken down according to sectors, around 70 percent of industrial robots are currently at work in the automotive, electrical/electronics and metal and machinery industry segments. In 2015, the strongest growth in the number of operational units recorded here was registered in the electronics industry, which boasted a rise of 18 percent. The metal industry posted an increase of 16 percent, with the automotive sector growing by 10 percent.”

Additionally, they found that “The USA is currently the fourth largest single market for industrial robots in the world. Within the NAFTA area (the USA, Canada, and Mexico), the total number of newly installed industrial robots rose by 17 percent to a new record of some 36,000 units (2015). The leader of the pack was the USA, accounting for three-quarters of all units sold. 5 percent growth was recorded. With a comparatively much smaller amount of units, the demand in Canada increased by 49 percent (5,466 units), while that in Mexico grew by 119 percent (3,474 units). With a stable economic situation, it may be expected that North America will see an average annual growth of 5 to 10 percent in sales of robots from 2016 to 2019.”

Although the American workplace has seen an uptake in robots/more automation in the workforce, over 70% of Americans polled expressed wariness about this. The McKinsey Global Institute found that 73 million American jobs could be stake (or lost to automation) by the year 2030 – if these numbers keep pace. So these fears are well warranted.

Build Rehabilitation, which is located in Los Angeles, offers specialized packaging services to a variety of different businesses in the cosmetics industry. With 200 disabled workers and 50,000 square feet available, we have space and the manpower required to service all of our clients and their custom packaging needs. Build does not have any robots but it does have 200 disabled humans anxiously waiting to help you with all your packaging needs.

[Best practices] for retail clamshells and blister packs

[Best practices] for retail clamshells and blister packs

The unfortunate reality is that there still remains an abundance of new brand developers that do not put too much emphasis on packaging solutions at the beginning only to regret such a decision in the end. This is particularly true for packages that are designed to showcase the product in a retail setting.

So you won’t have to face the same regrets that many developers have experienced throughout the years, here are some of the best practices for retail clamshells and blister packs that you might want to follow:

Consider Industry best practices Experts in retail clamshells in Los Angeles recommend tailoring the product size to the available space of the shelf in which it will be displayed on a regular basis. You may be tempted to outdo the competition by making your own products appear bigger than them but this may not always work in your favor. There are necessary costs for assembly, shipping, and the like that you need to consider too.

Know what the pilfer-resistance requirements are

For blister packaging companies in Los Angeles, they always make sure that the package is pilfer-resistant enough to a point that the contents of the package are impermeable to outside tampering but at the same time won’t give consumers a nightmare experience once they try to open it. How pilfer proof your package should be will depend mainly on the way in which it will be merchandised. You might also want to determine what the on-shelf, POP, and other display requirements are just to be sure.

packaging companies in los angeles

Consult your suppliers and consumers

There are so many factors that will simply be beyond your control that’s why it’s important that you consult the key groups in your industry so you won’t have to assume things all the time. First, you might want to reach out to your suppliers directly so you can avoid last minute surprises. You might also want to interact with consumers through various means. Integrating blister packs with small pockets, for instance, can offer exclusive cross-promotional opportunities.

Understand consumer tendencies

Clamshells are notorious for giving consumers a tough time in opening them. To counter this kind of issue with the packaging, there are retail clamshells in Los Angeles that rely on integrating directions and informative labels designed to help make things easier for consumer once they begin un-packaging their orders.

In the end, however, consumer taste and preferences are pretty much subjective. There are those who tend to correlate bulkier packaging for quality and there are those who see a poorly designed packaging as cheap. For this reason, it’s important to understand consumer biases so you can better present your packaging.

Level up your packaging

It’s always best to keep yourself acquainted with the latest trends and technologies in packaging so you can level up your products. Plastic printing, for instance, has become so advanced and efficient that it is now one of the best ways to entice consumers to avail for higher-end options. You can even market relatively inexpensive goods as luxurious products through elaborate and decorative packaging like what successful blister packaging Los Angeles companies have done throughout the years.

[The Benefits] of Kitting in Product Fulfillment

[The Benefits] of Kitting in Product Fulfillment

Online retailers are always finding new ways to enhance speed and reduce costs. A new option that’s available to minimize costs in product fulfillment is called kitting. It’s a concept that offers minimized prices for a combo.

Product fulfillment companies, like Build Industries, use this model in the shape of kitting services, where they put a group of individual products into one package and send it to customers. Kitting is an efficient way to save and earn a lot of money. Below are some other benefits of kitting.

Cost-efficient

By combining a lot of different products in one box, you can minimize the cost per unit. Let your supply chain companies know about this so they can recommend which products to combine and can also send you overstock or let you involve in pick-and-pack fulfillment to minimize costs.

Once you begin to learn more about your customers and what they want, you can make your kits more attractive. This will ensure that you’ll always save when selling your top products, marketing items from suppliers and have the most purchases and feedback from customers.

Faster Assembly

Kitting in bulk creates a more streamlined operation each time an order gets placed. This means a faster assembly of kitted products if you manage your own order fulfillment. As each kit is counted as one stock keeping unit (SKU), you save money on pick/pack costs.

Less Shipping Mistakes

Shipping materials in a kit minimize the probabilities for error with order fulfillment. It also lets your fulfillment house print the shipping labels in advance. This gets rid of the need to weigh and label single items.

contract packaging services

Enhanced Packaging

Kitting can help you save on postal costs as your packaging becomes more cost-effective and efficient. Instead of packing single items into a standard-sized box, you can create a custom box for top-seller kits to minimize the weight and size of the package. This won’t only delight your company but your customers as well.

Improves The Manufacturing Process

For manufacturers, the major benefit of kitting is that it minimizes material handling and manufacturing time. Kitting offers all the materials you need for production so you can start your business without delay. It also minimizes the number of deliveries and the storage space required for assembly lines.

Creates More Space

By moving kitting services and inventory to a professional warehouse, you can create more floor space for manufacturing. You can use the free space for more important things like creating more assembly lines for production.

Why Choose Build Industries?

Need kitting solutions for your product fulfillment issues? Build Industries has the services and experience to make your product fulfillment operations more successful. We are a nonprofit contract packager offering contract packaging services in Los Angeles to different manufacturers who need kitting, packaging, and assembly services.

We offer flexible contract packaging services customized to your special business needs. Contact Building Industries by calling 1-818-898-0020 today!

Product Development And Digital Manufacturing

Product Development And Digital Manufacturing

The digital world is real, it’s growing, and it impacts businesses right now. Digital manufacturers help business owners of all backgrounds and sizes maintain efficiency and flexibility.

250 years ago, the world experienced a massive change when the Industrial Revolution began. The world, at that point, could be described as a place where artisans exchanged their handcrafted, unique products to a small number of customers. When the Industrial Revolution happened, that paradigm was flipped on its head, and the era of mass production of the same item, in shape and dimension, began to become the norm. The Industrial Revolution changed and molded the current world we live in, and the digital world is doing the same thing.

Less than 20 years into this new millennium, that paradigm might be changing again — towards something of a hybrid between the old way (before the Industrial Revolution, i.e., more customization), and the current model of mass production. Essentially, this new school of thought wants to use the current mass production capabilities that we have, but it also likes greater personalization that artisanship can offer. One flaw that the mass-produced model has is that it can create a system of blandness, in that, every product that’s produced can look and feel exactly the same, and for some people, that’s not a good thing. Historically, novel products that served a niche market have had higher prices because they were believed to not be marketable enough to the general population, but that is all changing now.

Build Rehabilitation is looking to expand its relationships with digital manufacturers, and in the coming years, we plan on offering more customizable products for smaller clients.  We are in the process of growing our digital manufacturing base, and we are currently working with clients who offer niche product customization.

When it comes to physical goods, there will always be a need for physical warehousing and manufacturing, and the key going forward will be to integrate both physical and digital manufacturing into a synergetic, successful relationship.

Build Rehabilitation, which is located in Los Angeles, offers specialized packaging services to a variety of different businesses in the cosmetics industry. With 200 disabled workers and 50,000 square feet available, we have space and the manpower required to service all of our clients and their custom packaging needs.

United States Industrial Space Tightest In Two Decades

United States Industrial Space Tightest In Two Decades

The warehouse availability rate (including properties that are vacant) has fallen for the 32nd consecutive quarter. The availability for industrial space, which includes space that is either vacant or will become vacant in the near future, is now at its lowest level since this data first starting being tracked in 1988.

As consumers continue to do more and more of their shopping online, storage space to house those goods and fulfill those orders are declining. For American retailers, exporters, and manufactures, warehouse space is at its lowest availability since the year 2000.

Economists with CBRE Group have recently released a report stating that new warehouse space is being taken up almost as immediately as its put on the market. In the second quarter of this year, industrial space demand went above the 49 million square feet that were put on the market from that exact same time. Additionally, industrial real estate availability fell to 7.2% — the lowest measure since 2000, CBRE economists have stated.

According to the senior managing economist for CBRE, Tim Savage, the market is “remarkably balance,” and he has stated that industrial real estate developers are able to keep up with this demand by creating very simplistic industrial space.

What this tangibly means is that a number of new warehouse businesses are springing up across the nation. The problem though is that most of these newer businesses don’t know what they’re doing, and most of them will disappear not long after they’ve been established, leaving their clients in a very unfortunate situation.

Build Rehabilitation, which is located in Los Angeles, offers specialized packaging services to a variety of different businesses in the cosmetics industry. With 200 disabled workers and 50,000 square feet available, we have space and the manpower required to service all of our clients and their custom packaging needs.

The UPS Strike And Amazon

The UPS Strike And Amazon

You might not realize this, but the UPS (Union Parcel Service) is Amazon’s lifeblood/subsidence for survival (they deliver the vast majority of Amazon’s products to its customers), and there’s a brewing clash rising between the 260,000 Teamsters who deliver Amazon’s goods and Amazon itself — over the agreement they have which is set to expire on July 31st, 2018.

Last week, the UPS Freight Teamsters voted to authorize a work stoppage (tallying over 93% of those who voted) to form picket lines, and to stop delivering Amazon goods (and eBay).

This matters for a number of reasons, but here are just some ways that this might affect your own personal product purchased on Amazon (according to FoxBoston):

“-Amazon will likely step up shipments via the U.S. Postal Service and its nearly totally non-union shipping partner FedEx. That means consumers would likely see more packages delivered by the mail carrier. And instead of those familiar chocolate-colored trucks pulling up to your home, you’ll see a lot more of the purple variety.

-Look for Amazon’s ‘Shipping With Amazon,’ (SWA) program to expand rapidly. The SWA program quietly launched in Los Angeles, California, this past winter and takes on UPS and FedEx directly by hiring people to pick up packages from businesses and ship them to consumers. While Amazon hasn’t updated the public on SWA in months now, it’s reasonable to expect that it could be rolled out to more cities soon.

-Local courier companies would likely benefit from a UPS strike. Although it’s relatively rare, Amazon typically uses local couriers if the ordered product is close enough to one of its myriad Amazon warehouses. Smaller companies like Lasership and OnTrac could see increased Amazon deliveries.”

Although Amazon and other e-commerce stores are perceived to only affect the internet ecosystem, the truth of the matter is that they are as impactful for the rest of the economy as Walmart is. Amazon partners with a number of other warehouses and businesses across the country to connect services/products with customers all over the world. A strike by UPS workers will have a number of trickle-down effects on Americans as a whole.

Build Rehabilitation, which is located in Los Angeles, offers specialized packaging services to a variety of different businesses for 50 years. With 200 disabled workers and 50,000 square feet available, we have space and the manpower required to service all of our clients and their custom packaging needs including FBA Box Forwarding for Amazon.

Target Is Making Leaps In The Delivery War

Target Is Making Leaps In The Delivery War

Target is making major strides in the delivery wars (versus Amazon and Walmart), and the primary way they’re doing this is through Shipt, their same-day delivery service. Target is already more than halfway through rolling out this initiative — with Chicago being the first city that will test it out.

There are a number of reasons why this initiative by Target matters, one of which is that it’s only a matter of time before more local businesses begin to enter into partnerships with big corporations to deliver products to consumers’ houses/places of business. We’ve already seen this with the partnership between Amazon and local warehouses.

Shipt was purchased by Target in 2018 for $550 million, and it uses shoppers that will stay in communication with the customer as they’re picking up their item(s) for them. It’s something of a fusion of Uber and a delivery service.

In addition to Shipt, Target is also engaging with new brands called “last mile” which include Shipt, Drive Up, Target Restock and the fulfillment of online orders from within local stores.

According to a release by Target:

“’With Drive Up, we’re seeing it as popular among parents of small children for ‘fill-in trips’ to pick up items like diapers,’ a company spokesman told CNBC. He also said those shoppers opting to have their online orders fulfilled at and shipped from a local Target store are increasing their basket sizes by six times, on average.

By the end of this month, Target said it will offer same-day delivery via Shipt in more than 135 markets. By next year, all ‘major product categories at Target will come with the option to be shipped on the same day a purchase is made (some items are currently unavailable on the platform).

As of this week, more than 600 Target stores in 20 states offer Drive Up, while nearly 1,000 locations are set to offer the service by holiday season, according to the company.

‘The expectation is for the benefits [from the shipping and pickup options] to accelerate into next year as each of the programs mature and are rolled out more broadly.’

‘Target has accelerated its efforts over the past 12 months to leverage its vast store base [1,800+ locations] while providing customers with an array of convenient options to shop,’ Grom wrote. ‘In fact, management believes that by year-end, Target’s array of shopping options will put them on par, if not make them more convenient than Amazon.’”

Build Rehabilitation, which is located in Los Angeles, offers specialized packaging services to a variety of different businesses in the cosmetics industry. Build is a supplier of part and full time worker to Target who believes that people with disabilities deserve a chance.

[Kitting and Assembly Services]: Get Your Product to Market

Many companies think that their work is over after they’ve developed and produced a high-quality product, but they soon become overwhelmed when they realize how much work is involved with getting that product to the stores where it’s to be sold. That’s why it’s so beneficial to work with top quality kitting and assembly services that can smooth over the transition from factory to store. The right services will help your company save money on this transition while helping you get your products to market faster and more easily as well.

kitting and assembly services

Warehousing, Packing, and Shipping

It’s a lot of work handling the logistics of products being sent all over the country and many companies simply don’t want to deal with the extra work involved. A top quality kitting warehouse service will hold onto products for a given location until they are ready to be put out at the final destination. When searching for kitting solutions to help make your products look their best on location, try to find a company that also offers warehousing solutions.

These companies are the best to work with because products can be housed at the location and then sent out to different locations. Kitting warehouse services make dealing with a kitting and assembly services company as beneficial and seamless as possible so that you can go back to planning out more products, testing them and worrying about the production cycle.

Kitting and Display Assembly

Getting a shipment of products from a factory warehouse to an actual store is a great deal of work, and it takes time to make sure they look good on the shelves as well. The right kitting and display assembly services can ensure that your products don’t just arrive where they are needed, but that they are put onto high-quality displays that will help them stand out in the best way possible. Hiring top-notch kitting and display assembly services to put up displays for your products will only improve your sales down the road and help you get your product selling at more locations. It’s a worthwhile investment and will offer the value that you’ll have a hard time getting from most other services that you find today.

kitting solutions

Enjoy More Efficient Operation

Businesses are best when they stick to tasks and projects that they are experienced and specialized with. That’s why it makes sense to hire professionals for kitting solutions rather than hiring a team to take care of the task in-house. Hiring an outside company will help you avoid all the hiring hassle while helping you save money along the way as well. It’s the best investment that you can make to ensure your company does not become overwhelmed by all the different products that need to be installed on location.

Stop worrying about how you are going to distribute your products around the country. Reconsider hiring employees at your company to handle this task, and avoid worrying about buying company trucks and other equipment to handle all the shipping needs. Instead, focus on finding those top-notch kitting and display assembly services that will truly meet your needs. The right kitting solutions will make the task quick and easy and make sure that your products look great everywhere that they arrive.

SPICE to Collectively Shape the Future of Sustainable Packaging

SPICE to Collectively Shape the Future of Sustainable Packaging

Recently, the Sustainable Packaging Initiative for Cosmetics came together to set a course for sustainable packaging policies.

The members of the Sustainable Packaging Initiative for Cosmetics (SPICE), founded by L’Oréal and the consulting firm Quantis, announced the launch of this initiative for the cosmetic industry. Essentially, the goal is to foster a more sustainable future in the beauty industry.

SPICE is comprised of 11 members including: Quantis, L’Oréal, Avon Products, Inc., Clarins Group, Coty Inc., L’Occitane en Provence, L’Oréal, LVMH, Shiseido, Sisley, as well as Cosmetic Valley (French “competitiveness cluster” for perfumes and cosmetics) and FEBEA (French Federation of Beauty Companies).

The crux of this initiative is to prepare the beauty industry for the future of technological advancements. Basically, these large corporations don’t want to be in a disadvantageous situation by becoming left behind in the technology race.

According to a press release by Quantis:

“These members will work together, guided by the sustainability experts at Quantis, to develop and publish business-oriented methodologies and data to support resilient decision making to improve the environmental performance of the entire packaging value chain. These developments will be the result of collective working sessions where members will share experience and knowledge for the benefit of the initiative and eventually to drive cosmetics packaging sustainability achievements on a grand scale.

More specifically, the work delivered from SPICE will help the cosmetics industry make significant progress in three key areas: 1) guiding sustainable packaging policy development based on robust and harmonized methodology, recognized by the sector; 2) driving packaging innovation based on objective eco-design criteria to progress towards more sustainable solutions; and 3) meeting consumers’ expectations by improving communication and providing more clarity on the environmental performance of products.

‘L’Oréal’s commitment to be a co-founder of SPICE was driven by the willingness to collectively share on sustainable development progress and to allow cosmetics industry players to work more effectively together,’ states L’Oréal’s Global Head of Packaging & Development Philippe Thuvien. ‘Beyond the development of a robust methodology of environmental footprint assessment, SPICE will ultimately increase the eco-design of our products and will provide the clarity consumers expect to help them make more sustainable cosmetic purchases,’ adds Philippe Bonningue, Head of Sustainable Packaging at L’Oréal.

To learn more about the SPICE initiative and how it will shape the future of cosmetics packaging, go to www.open-spice.com.”

Build Rehabilitation, which is located in Los Angeles, offers specialized packaging services to a variety of different businesses in the cosmetics industry. With 200 disabled workers and 50,000 square feet available, we have space and the manpower required to service all of our clients and their custom packaging needs.

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