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How to Forecast and Manage Inventory


With COVID-19 dramatically changing the way sales are made, inventory is going through whiplash. Some products are being purchased in bulk, (hand sanitizer, anyone?) and other items may be stuck for quite some time.  

The long-term inventory cycle for these products isn’t well understood and making decisions about what to produce and what to purchase to replace or manage inventory levels will challenge many businesses in the coming weeks. Inventory locks up cash if it’s not moving, and if it’s moving too fast, it creates a pressure to buy more quickly and fill the gap This can have an impact as the sales trends deeply decline before returning to normal. Recognizing sales anomalies and preparing for the whiplash could be a major differentiator for business success. 

For more information on forecasting and managing inventory to improve your business’s cash flow, contact Amy Julian, Director, Advisory Services, at or 314.687.2314. 


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