As inventory is allocated to orders entered into the system, the inventory is depleted in “real-time”. When the inventory level of a particular size/style is depleted to the prescribed preset minimum level, a cut request is automatically issued to the production department for approval and implementation.
This minimal site inventory works because of the automatic ordering module built into our Visual 2000 system. The entire process is based upon the theory of “Just-in-Time” inventory instead of the current “just-in-case” system.
Minimum inventory levels are set based upon the lead time to replenish inventory and the rate at which inventory is expected to be depleted. This information is directly exported through reporting information generated by our “Inventory Management System” developed by Visual 2000. We normally choose to carry an estimated 4 month inventory even though it only takes an average of 4 to 6 weeks to domestically build most garments. Our import levels are built on a 5 -6 month turn around. This system of automatic replenishment helps eliminate inventory shortages.
Levels would be periodically re-evaluated and altered to fit the constantly changing environment of your company and as more accurate usage data is developed through the visual 2000 system.
During periods of known growth, such as seasonal changes, Warehouse and Vendor inventories may be increased to prepare for the expected needs.