Many of our newsletters over the last eleven years have featured Best Business Practices.  I am proud to say my staff has worked with our clients to implement these ideas during our over 110 combined years of experience.  I’d like to spend the next few newsletters on some of the most relevant to your business creating a Primer, a short informative writing, on Best Practices.

Primer: Best Business Practices, Part 1

Let's define Best Business Practices and what can they do for the bottom line.  Experts describe Best Business Practices as strategies used in business to accomplish some very basic goals. Today we will start at the very beginning steps of system implementation to make sure that we follow those practices. On the sidebar are some of the benefits a Best Business Strategy can bring to your business. I have check-marked the areas we want to cover in the next few newsletters. Focusing on all these items will enhance your profitability and keep everyone on the same page.

1) Setting up Items

When working with our new small to medium Processors and Distributors we spend a lot of time on this area. We supply an Excel spreadsheet to build their items and explain all the fields relevant for their work. Starting with a sample set we import into their data base and then we can run multiple reports for them to see how they look and the flexibility that the system provides. Doing this sample is important before you commit to your structure.

Item setup is analogous to the foundation of your house, if it is not right the house will never be right. This is also an important area for pricing which we discussed last week. If you would like help on this issue please go to our Help Site, Setting up your item ID’s.  Critical area are Catch weight or not, Case conversion, standard weights, and Pack size.

Primer Best Practice: Item Setup should be an structured and repeatable process THAT IS COMPLETED EVERY TIME BEFORE A PRODUCT IS SOLD.  The most common pitfall is letting 'MISC' items creep in.  If the item is not worth selling properly, it should not be sold.

2) Picking Reports:

Depending on your Order pattern and warehouse alignment there are three basic ways to pick (not including advanced picking technologies which we will cover next week) they are:

  • Pick by Order: A pick ticket is created for each order. Frequently these orders will be sorted into truck routes and or warehouse location so the orders are picked in the proper sequence.

  • Batch Pick or Wave Picking: We covered this extensively in our Catch the Wave newsletter. Warehouse space and organization is critical in this process.

  • Cutting or Production Lists: For production houses or meat cutting facilities it is very important to segregate items that need to be made or fabricated. This can also mean the inclusion of specifications for those cut items.


Primer Best Practice: AN ORDER SHOULD BE ENTERED ONCE, then reported on or reprinted.  Many businesses mistake 'rewriting or re-entering' for 'reporting.'  Handwritten copies or free form printing of QuickBook's workorders opens you up to transcription and reading errors.  The statistics in our Never Enter Data Twice newsletter show the dramatic cost difference.


Issue 631 - Turn and Earn, we need a reminder.

Being that a lot of vacations are happening right now I thought it would be a good time to re-publish our turn and earn issue that we did back in 2005. Although it's an older News Letter it's one that shows you how good your inventory is doing from a profitability standpoint.

Read more ...