Seeing your year-end inventory counts heavily punctuated by adjustments can be pretty painful. The massive difference between the quantity of inventory present on your shelves and what your software for veterinary practices shows can indicate many things. More often than not, however, this difference points towards inventory wastage.
Inventory wastage translates to a loss in revenue, which, in turn, translates to a negative impact on your veterinary practices. In this blog, we will discuss a few ways to minimize inventory wastage:
Ways to Minimize Inventory Waste:
1) Perform more frequent counts:
It is standard practice to perform an inventory count on an annual basis. However, waiting a full year before counting your inventory means that any differences between the shelves and your vet practice management software will become harder to account for.
On the other hand, implementing cycle counting (counting small inventory amounts multiple times during a year) is a simple yet effective way to counter this complication. This way, even if you do need to make corrections, you will be able to make them on a smaller scale, and therefore, more easily and smoothly compared to a massive overhaul.
2) Keep track of expiration dates:
Expired products account for a great deal of waste in veterinarian practices. Not only can an expired product not fetch you any revenue, but you will have to actually spend money for its disposal and the purchase of new stock.
Veterinary accounting software like AILedgerLinx can provide important data for products that are close to expiration, including your current stocks for the product and the average revenue that it generates for you. With such information, you can decide whether to put the product on offer or return it to your supplier. In addition, you can also determine if it is a good idea to continue stocking the product.
3) Use automation or software:
Speaking of software, you should certainly consider using them for your veterinary practices (if you are not doing it already). Automation can allow you to capture missed charges, such as injections or medicines, that are administered to charges during hospitalization.
Keeping track of charges will allow you to better handle your inventory, and modern Software for veterinary practices have become immensely sophisticated and advanced for that precise purpose.
Reduce Inventory Wastage with AILedgerLinx:
AILedgerLinx is a Veterinary Accounting Software that has been designed to enable users to generate accurate and timely figures for every profit center or department of their Veterinary Practice Solutions. Using AILedgerLinx and QuickBooks, you can print daily ledger logs, map multiple categories to any one ledger account, and execute transfers whenever convenient for you.
To know more about how AILedgerLinx can optimize your inventory usage, please feel free to contact us.