Reduce base paper inventory, saving more than 600,000 yuan per year

Release time: 2015-09-15

If a small factory uses 2,000 tons of paper per month and has 4,000 tons of base paper in stock, it means that the base paper inventory turnover rate is 2, that is, after the base paper is returned to the factory, the base paper will be stored in the warehouse for 2 months before it is used. That is, how much is the inventory fund under pressure? The average selling price of 4,000 tons * base paper is 2,700 tons, which is: 10.8 million yuan. If the inventory is reduced to 2,000 tons of stock paper, your company will release 5.4 million yuan, calculated at 1% interest on conventional financing costs, that is, you can Save 54,000/month. Annual savings of 648,000 yuan!

It can be seen from this small factory that it is very important to control the stock turnover rate of base paper. Now some excellent companies have achieved a turnover of 15 days, with a monthly consumption of 4,000 tons and only 2,000 tons of inventory. How do they do it? Next, I will share the "cheats" for reducing the stock of base paper.

The "secret" to reduce the stock of base paper

1. Make base paper inventory and base paper demand estimate table

The base paper inspector collects the actual amount of base paper used (monthly) as a reference for future base paper purchases to increase the accuracy of demand estimates. Taking the monthly usage as the reference benchmark, the difference between the maximum and minimum actual usage will be ignored. Therefore, the total usage of each quarter is calculated and divided by the number of months in the statistics, and the data obtained are more objective. Due to changes in customer and order types, the usage scale is re-created every quarter.

2. When the base paper is received, mark the date of storage

When unloading, use the wood pen to write the warehouse date, so that the operator can implement the material first-in, first-out principle of turning over the warehouse.

3. Simplify the material of the base paper and the type of paper web

The types of paper webs and materials are too complicated. Unpopular materials, if customers do not have such paper web and material requirements in the future, it is not easy to transfer the base paper, and it is easy to cause inventory. Reduce unpopular paper webs and base paper orders (unpopular materials often need to be matched with the full width of the paper machine, resulting in a large increase in unnecessary paper widths). Negotiate with the sales staff to match the existing customary materials to meet customer needs.

4. Sales provide reliable base paper demand forecast

The base paper demand estimate is based on the average monthly usage in the past. When the sales staff undertakes or closes a large order, they should provide the relevant demand estimate purchase in order to control the purchase amount of base paper. The estimated amount of base paper provided by the sales staff was found after follow-up investigation and found that there was often a gap with the actual amount, which could easily lead to delayed warehouses.

5. Diversion and resale of stagnant base paper

The sluggish base paper is used in combination with the use of stagnant base paper if the order does not require paper quality. If the base paper cannot be used by the factory, it can be considered for resale to other manufacturers.