1. Stock Control

2. Keywords
Stock Control – The process in which the business ensures that stocks of inputs are adequate to meet production requirements, and that the stocks of the finished product are readily available to meet customer demand.
Buffer Stocks – Stock that is kept as a back-up to ensure the business never runs out completely of inputs or finished stock.
Just-in-time (JIT) – Keeps the cost of holding stocks to a minimum by planning production so that raw materials, components and work in progress are delivered just as they are required.

3. What is Stock? Stock has different meanings in business it could be:
Raw materials – Used in the production process
Work-in-progress – Products in the process of being made
Spares – Kept in case of capital machinery breaks down
Finished products – Final goods ready to be sold or delivered
A business must get the stock right - if they hold too much they risk higher storage and insurance costs, cash flow problems and increased obsolescence (waste).
However, If they don’t hold enough stock then they may not be able to meet the demand of customers so they will go to a competitor who has the good in stock (E.g. A kettle in Currys is out of stock, customers buys at Argos instead).

4. Managing Stock EPOS Waste Management Stock Control Charts
There are a number of ways that a business can use to manage their stock more efficiently:
EPOS
Waste Management
Stock Control Charts
Electronic Point of Sale
A database that is kept up-to-date by using barcodes and scanners
It is common in retail and generally straight forward
Selling old stock on offer, its better to get less profit on an item then let it go to waste
Put new stock at the back (E.g. In a supermarket put bottles of milk at the back so customers by the sooner BBD.
Traditional method that can be integrated from an EPOS system
However it is based upon assumptions that Deliveries are on-time and stock is at a constant rate

5. Stock Control Chart
Maximum Stock – The most stock the business can hold
Reorder Level – The level at which the business should reorder
Minimum Stock – The point at which more stock is delivered
Buffer Stock – Backup stock in case lead time is longer or demand is higher than expected
Lead Time – The time it takes for stock to arrive from ordering
Maximum Stock
Reorder Level
Stock Level (Units)
Minimum Stock
Lead Time
Buffer Stock
Time (Weeks)