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Explain the need for stock control?

Updated: 9/16/2023
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14y ago

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A company needs enough to cover the amount of sales or manufacturing they are doing. Otherwise that will affect their sales or ability to make products. If they have too much, then they may not be able to sell it all. Perishable products may go out of date, and although they have paid for those goods, they won't be able to sell them, meaning they would lose money. It can also take up space that they need for other goods that there is a demand for. The same applies to manufacturing, in that they may have too much of one thing and not be able to use it all.

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