NetSuite inventory management for manufacturers

For a large manufacturer with multiple locations or subsidiaries, it can be a challenge to manage inventory effectively. NetSuite can help meet this challenge as it offers several features that allows manufacturers to optimise inventory levels, reduce costs, improve order fulfilment, and meet customer demands efficiently across all locations.

Below we’ve outlined the major inventory management functions of NetSuite:

Centralised inventory management provides real time visibility

NetSuite provides a unified platform where manufacturing companies can track inventory levels across all their locations in real-time. NetSuite provides a centralised view that ensures that the business has always up-to-date information about stock availability, helping avoid stockouts or overstocking.

The system provides location-specific data, which includes warehouses, retail stores, and distribution centres. This enables better planning and allocation of resources based on demand and location-specific requirements.

Demand forecasting

NetSuite features demand planning tools that use historical data and trends to forecast future inventory needs. These forecasts can be further customised by location, ensuring that each site is stocked according to its specific demand patterns.

Automatic reordering

Based on predefined criteria, such as reorder points or safety stock levels, NetSuite can automatically generate purchase orders or transfer orders when inventory falls below a certain threshold. This helps maintain optimal inventory levels across all locations.

Transfer of stock between locations

NetSuite makes transferring inventory between locations easy. The system can create transfer orders to move stock from one location to another, ensuring that inventory is balanced according to demand.

Multi-location fulfilment

When fulfilling orders, NetSuite can allocate inventory from the most appropriate location, optimising stock and maximising the efficiency of the delivery process by reducing shipping times and costs by fulfilling orders from the nearest location.

Warehouse management

NetSuite also improves warehouse management with bin management and bar code tracking functions. Within each location, NetSuite allows for detailed bin management, helping to keep track of inventory within different areas of each warehouse. It also supports barcode scanning, which enhances accuracy in tracking inventory movements within and between locations. These tools help improve accuracy and efficiency in picking, packing, and shipping, minimising the likelihood of errors and speeding up the inventory handling process.

Improved inventory reporting and analytics

NetSuite offers extensive reporting capabilities, allowing manufacturing companies to generate reports that show inventory levels, movements, and trends by location. Reporting and analytics can also be customised for the particular needs of the company or industry in which it operates, helping managers to make informed decisions regarding inventory management.

Key Performance Indicators (KPIs) related to inventory, such as turnover rates, stock aging, and fulfilment times, can be monitored through customisable dashboards too. These insights help to optimise inventory levels and reduce carrying costs.

Integrates seamlessly with other processes

As NetSuite utilises a single database, one of its greatest strengths is in unifying all a manufacturing company’s departments. NetSuite integrates inventory management with production planning, ensuring that raw materials and components are available when needed for manufacturing processes. It also facilitates supply chain collaboration with suppliers and distributors, improving coordination in supply chain activities such as procurement and distribution across multiple locations.

Multiple locations can span multiple borders too

NetSuite’s inventory management functionality doesn’t just cover multiple locations – it can handle multiple locations in multiple countries too. For manufacturers who operate internationally, NetSuite can handle inventory across multiple business entities, regions, and countries including supporting multi-currency transactions and local tax compliance. This means that international manufacturers can manage inventory centrally, with a global view of their inventory which also accommodates local variations.

We can help you to unlock the many advantages that NetSuite brings to manufacturing companies, regardless of size. As well as ensuring NetSuite’s standard functionality is properly implemented with your systems and processes, we can also integrate it with existing legacy systems and develop custom functionality if you have a specific requirement.