How to Calculate Work In Process Inventory In Ecommerce
by Rin Mosher on Jul. 24, 2024
Handmade, custom, or otherwise unique ecommerce products require careful assembly and meticulous inventory tracking. Before these products are fully assembled, they're known as Work In Process (WIP) inventory. Failing to keep track of this type of stock can impact warehouse space, hol …
Minimum Order Quantity (MOQ) In Ecommerce Explained
by Rin Mosher on Jul. 5, 2024
Minimum Order Quantity (MOQ) says a lot about the viability of suppliers for your ecommerce business. It’s among the first things that must be considered when comparing potential partners. Forming partnerships with suppliers that have sensible MOQs can result in optimized inventory, c …
FIFO vs. LIFO: How They Affect Your Bottom Line
by Rin Mosher on Jun. 26, 2024
From shelf life to expiry date to holding costs, ecommerce inventory management involves the consideration of numerous factors specific to individual products. Most ecommerce businesses base their decisions on which items go out when using either the First In, First Out (FIFO) method …
How to Calculate COGS In Ecommerce
by Rin Mosher on Jun. 21, 2024
With the potential to influence everything from profit to liability, inventory calculations hold a lot of weight for ecommerce businesses. Yet understanding the nuances behind each formula isn’t easy. It’s one thing to know what Cost of Goods Sold (COGS) means and another to know how …
Comparing the Pros and Cons of Vendor Managed Inventory
by Rin Mosher on Jun. 7, 2024
Inventory management has the power to impact everything from operational costs to customer satisfaction. Opting to handle it in-house means being fully responsible for the way results are pursued and how well they’re achieved. That’s great for total control over stock levels, but it c …
What Is the Multi Echelon Inventory Optimization (MEIO) Strategy?
by Rin Mosher on May. 22, 2024
Multi Echelon Inventory Optimization (MEIO) is a supply chain optimization strategy that makes handling the inventory complexities of a growing ecommerce business much more manageable. However, MEIO isn’t just about keeping products in stock – it's a strategy that enhances coordinatio …
What Is Cycle Counting In Ecommerce Inventory Management?
by Rin Mosher on May. 6, 2024
When it comes to ecommerce inventory management, there’s more than one way to make sure your stock count is accurate. With the full process of counting inventory being both time and resource-intensive and disruptive to everyday operations, many ecommerce businesses use the cycle count …
What Is Economic Order Quantity and How to Calculate It
by Rin Mosher on Apr. 12, 2024
Inventory is one of the most important elements of any business. Finding the balance between having enough inventory to meet demand without overspending on excess stock is a constant challenge for businesses of all sizes. The concept of Economic Order Quantity (EOQ) helps tackle this …
Using the Weighted Average Method for Inventory
by Rin Mosher on Mar. 8, 2024
Proper inventory management is critical for ecommerce fulfillment, involving significant time and resources to ensure accurate accounting and efficient processing. Streamlining it through accurate tracking is essential — but valuing your inventory accurately is equally crucial. The we …
Complete Ecommerce Inventory Financing Guide For 2024
by Kyla Friel on Feb. 23, 2024
Efficient inventory management is a cornerstone of ecommerce success — and this includes managing the costs that come with having inventory. Managing inventory costs can often present a significant challenge, impacting both cash flow and the ability to meet customer demand. Many ecomm …