An introduction to Sage Inventory Advisor

There is a good chance that your company has subscribed to the App to achieve one or more of the following:

  • Reduce excess inventory; Sage Inventory Advisor can help you release cash that is tied up in excess inventory
  • Minimise stock-outs; use Sage Inventory Advisor to minimise your stock-outs and make more sales
  • Place orders quicker; let Sage Inventory Advisor help you place optimal orders in no time at all

The big picture

A high level overview of what happens in Sage Inventory Advisor, covering:

  • Your objectives and the configuration of the App
  • Data extracted from your ERP and synced to our cloud servers
  • Processing that computes ideal inventory levels
  • Reviewing dashboard KPI and exceptions
  • Reviewing, amending and placing orders
  • Training for your users

The big picture - what happens during processing

This video dives deeper into the processing section of the big picture video, describing:

  • Critical data such as the stocking indicator and lead time
  • Obsolete, non-stocked and stocked items
  • Classification of your stocked items, by value and velocity
  • Using the matrix to set macro inventory policy
  • Generation of demand forecasts
  • Manual forecast overrides
  • Computing ideal inventory levels
  • Testing your current stock levels against these ideal levels, to:
    • Highlight key inventory exceptions
    • Recommend ideal orders

Basic navigation in Sage Inventory Advisor

You have received the email containing your user name and password but are not sure what to do next.

In this tutorial we share some basic navigation tips, including how to:

  • Log in
  • Change your password
  • Sort and filter lists
  • Navigate in the App
  • Find help

Setting the stocking indicator correctly is critical

Accurately defining your product range is critical for inventory planning, so that the App knows:

  • which items you plan to keep in stock
  • which items you will only buy when a customer orders them
  • which items you will not buy under any circumstances

How (and why) we classify your inventory

Click to download the infographic

Click to download the infographic

It is difficult to view hundreds, or even thousands, of inventory items every day and make an informed decision on what to buy, what’s running short and what you have too much of. The best way to get to the most important items is by classifying your items.

Why is classification so important? Because classifying your items allows you to focus on the 20% of the items that will give you 80% of your sales.

The tools to create the best possible forecast

Click to download the infographic

Click to download the infographic

If you don’t know what you are going to sell tomorrow, how can you decide what to buy today.

Having the tools to help you create the best possible forecast, results in optimal purchasing and planning.

How reorder levels are calculated

Understanding how reorder levels are calculated is fundamental to understanding order recommendations.

In this tutorial we explain how dynamic optimal reorder levels are computed.

How reorder levels result in order recommendations

Understanding how reorder levels result in order recommendations helps you during order review.

Now you can place the best possible order, to minimise stock-outs, reduce excess inventory and help to grow your business.

How the status of an item is determined

It is important to understand how the status gets assigned to each item, and the order in which you should address each status.

This tutorial explains how an item gets identified as a new, stock-out, potential stock-out, surplus order, or excess item.

How to ..

Before watching the tutorials below, it will be useful to do the “in product” tour on the dashboard and item enquiry, as these screens are shown in these tutorials.

Action your new items

Items show as new when there is no way to accurately determine the status to be assigned. Your goal is to action them to get them off the new items “to do” list.

In this tutorial we share some tips on how to action your new items, including:

  • How are “new” items identified
  • Your goal: get “new” items off the list
  • Incorrect stocking indicator
  • Check for supersessions
  • Add a manual forecast for stocked items
  • Add components to the bill of materials (bom)
  • Configure central warehouse supply
 

Action your stock-out items

Stock outs are bad for business. Losing a sale is bad enough, but if your customer has a good experience buying from your competitor, losing them for good is a disaster.

In this tutorial we share some tips on how to action your stock-out items, including:

  • Prevent the stock out by actioning your potential stock outs
  • How stock out items are identified
  • The situation and the available alternatives
  • The factors that influence the accuracy/validity of the prediction
 

Action your potential stock-out items

When you stock out of an item you will probably lose the sale, you may lose the customer’s entire shopping list and you risk losing the customer for good.

In this tutorial we share some tips on how to action your potential stock-out items, including:

  • How potential stock out items are identified
  • The situation and the available alternatives
  • The factors that influence the accuracy/validity of the prediction
 

Action your surplus order items

Once placed, an order is rarely reviewed before it arrives into stock. If demand has dropped off we may end up with significant excess that could have been avoided.

In this tutorial we share some tips on how to action your surplus orders, including:

  • How surplus order items are identified
  • Scenario’s and possible actions to take
  • Reasons for inaccurate identification of surplus orders
  • To gain maximum benefit from this tutorial

 

 

Action your excess items

Whether you purchased excess inventory at a reduced cost from your supplier in anticipation of increased margin or market demand has fallen after the inventory was purchased, the costs incurred while the excess sells down start to add up.

In this tutorial we share some tips on how to action your excess stock items, including: 

  • Prevent excess stock by actioning your surplus order items
  • How excess stock items are identified
  • Prioritise items for excess stock disposal
  • Excess stock disposal options
  • Excess stock disposal priority summary
  • Verify the excess is real by examining the key inputs
  • Be wary of unintended consequences
  • Actioning your excess stock items