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Pavitar Parkash Singh, Lovely Professional University Unit 6: Stock Management

Unit 6: Stock Management Notes

CONTENTS
Objectives
Introduction

6.1 Relevance of Stock Management to Retail Operations
6.1.1 Important Terminologies used in Retail Stock Management
6.1.2 How Much Stock Should You Keep?

6.2 Various Types of Stock Checks
6.3 Taking Care of Quality Inside a Store
6.3.1 Stock Control Systems – Keeping Track using Computer Software
6.3.2 Using RFID for Inventory Control, Stock Security and Quality Management
6.3.3 Stock Security

6.3.4 Control the Quality of Your Stock
6.4 Summary
6.5 Keywords

6.6 Review Questions
6.7 Further Readings

Objectives

After studying this unit, you should be able to:
Define the term stock management

Discuss relevance of stock management to retail operations
Describe various types of stock checks
Explain taking care of quality inside a store

Introduction

Retail Stock refers to the goods stocked for future use. Every retail chain has its own warehouse
to stock the merchandise to be used when the existing stock replenishes. Retail Stock management
refers to the storage of products to be used at the time of crisis. The retailer keeps a track of the
stocked goods and makes sure there is surplus Retail Stock to avoid being “out of stock”. Such a
process is called as Retail Stock management.

Stock control, otherwise known as inventory control, is used to show how much stock you have
at any one time, and how you keep track of it. It applies to every item you use to produce a
product or service, from raw materials to finished goods. It covers stock at every stage of the
production process, from purchase and delivery to using and re-ordering the stock. Efficient
stock control allows you to have the right amount of stock in the right place at the right time.
It ensures that capital is not tied up unnecessarily, and protects production if problems arise
with the supply chain.

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