These guidelines may: Identify the level at which an order is to be placed Stock can only be ordered when stock-on-hand reaches a certain level Set the quantity of stock to be ordered When an order is placed for a certain item only x can be ordered at any time. Considerations involved regarding that can be ordered include historical usage, space available, the season, promotions in force or expected, and available funds or lines of credit. In many instances, departures from these guidelines can only be made with management approval: Perhaps for special occasions When an item is available at an especially attractive price. Other venues simply order stock as it is required, adopting a (JIT) method ‘Just-In-Time’ that orders only what is required, and gets it delivered just in time to be used, aiming of – course to never run out. – All venues should strive to never run out of items they need once a venue gets a – reputation for being a non-stockist, customers will simply go elsewhere to buy what they want. Problematic with the JIT method is demand is difficult if not impossible to predict in our – – industry and suppliers may be unreliable in of their ability to deliver on time when required, especially at short notice. Par stock levels
These guidelines may: Identify the level at which an order is to be placed Stock can only be ordered when stock-on-hand reaches a certain level Set the quantity of stock to be ordered When an order is placed for a certain item only x can be ordered at any time. Considerations involved regarding that can be ordered include historical usage, space available, the season, promotions in force or expected, and available funds or lines of credit. In many instances, departures from these guidelines can only be made with management approval: Perhaps for special occasions When an item is available at an especially attractive price. Other venues simply order stock as it is required, adopting a ‘Just-In-Time’ (JIT) method that orders only what is required, and gets it delivered just in time to be used, aiming – of course – to never run out. All venues should strive to never run out of items they need – once a venue gets a reputation for being a non-stockist, customers will simply go elsewhere to buy what they want. Problematic with the JIT method is demand is difficult – if not impossible – to predict in our industry and suppliers may be unreliable in of their ability to deliver on time when required, especially at short notice. Par stock levels