Inventory or stock is the main component of any business. It is an accounting term that indicates the complete list of materials on hand for resale or for supporting business operations. Inventory is a current asset in the books of accounts. Every business or firm appoints a dedicated inventory manager or stock manager to oversee and maintain the stock of the company.
Inventory Manager – Job profile
An inventory manager or stock manager is a person who maintains the list of materials held by the business. A stock manager’s duty is to ensure that there is minimal wastage of materials. Their job is to monitor the stock and do maintenance of inventory and do not raise the expenses of the company as having obsolete stock will result in a loss to the company.
The stock manager has the following tasks:
- Implement inventory control procedures.
- Identify shortages and replenish the stock.
- Ensure that there is enough stock to cover sales and for business activities.
- Develop a system to track the movement and streamline business operations.
- Conduct daily analysis and forecast any potential issues.
- Get inventory ready for shipping or delivery.
- Create schedules and hire a workforce for inventory management.
Responsibilities of a stock manager:
An inventory manager’s job profile is not restricted only to the function of handling stock; they also have the following key responsibilities:
1. Handling Suppliers:
The primary duty of any inventory manager is fostering strong relationships with suppliers as it helps to keep the business operable. Finding reliable suppliers who provide quality goods and keeping a backup in case a supplier fails to supply the products is also part of the stock manager’s duty. It also means that the inventory manager should be well equipped to handle any problems that may arise during the cycle of supply and delivery to the warehouse. Cordial relations and proper communications are part and parcel of an inventory manager’s job profile.
Inventory manager’s play an important role in the documentation process of stock. They should know clearly about the quality, quantity, type, style, and any other characteristics of the stock, and be able to furnish the information the business requires at any point in time. Proper documentation helps in avoiding overstocking or shrinkage of inventory. In case of theft or loss by fire, the data maintained by the stock manager is of utmost use.
3. Purchasing requirements:
Many large organizations have a dedicated purchase team that communicates with the inventory team for replenishing the inventory. However, in small businesses, the inventory manager takes on this additional role of making the required purchases for keeping the stock stacked. The responsibility of having constant tabs on the inventory is also included in the job profile of the inventory manager. He/she should be capable of procuring a quality product at negotiable prices with the delivery timeline. The inventory manager’s function also includes the addressing of issues like overstocking, the deficit in stocks, warehouse employees concerns so on and so forth.
4. Inventory tracking:
Tracking inventory is a primary duty of a stock manager. The knowledge of inventory flow is integral with all the responsibilities mentioned above. Overall, the inventory manager is responsible for ensuring the business has the exact amount of stock to meet its needs and avoid overstocking items which lead to cash crunch or storage issues.
Salary Of inventory managers:
The salary for inventory managers depends upon their experience in the field along with their qualifications. The salary range for inventory managers starts from $70,228 to $97,508. This might differ from individual based on their interpersonal skills, additional qualifications and so on.
The function of the inventory manager is to keep the inventory levels balanced so that the production or sales is not affected. He/she is an asset to every business as they contribute to its growth.