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consignment inventory

This is inventory that has been consigned to our customers’ local warehouse. The customer pays for the inventory as it is consumed, reducing inventory risk and repetitive operational costs. Consignment inventory can help smooth out uneven demand flow while improving operational efficiencies.

features

• Low carrying cost
• Eliminates stock outs
• Reduced risk of obsolescence
• Reduced freight costs
• Inventory availability to cover demand fluctuation
• Reduced write-offs
• Immediate DOA replacement

benefits

• Reduces overall costs in procurement and materials management
• Increases productivity and profitability
• Allows customer to focus on core competencies
• Shortens cash conversion cycle