The answer to reduce inventory costs: kitting

Feb 10, 2023 | Kitting | 0 comments

Manufacturing companies consider kitting the solution to their efficiency problems, and they’ve all the reason! But the benefices of this logistic service also impact in the inventory costs. Do you want to learn how? Let’s go!

Kitting process consist of groping and assembling parts of products in only one. This one will be send in a kit. Whit this logistic system your company will reduce inventory costs whit the time and order optimization.

But, before to know that, let’s start whit something easy.


Why is inventory so important?

Inventory is the safest way to provide control in all the supplies of the company. For row material, finished products, pieces that will go into another process, scrap, etc.

A good logistic in inventory will bring you a fast information of the number of existents parts and their availability. Also, you´ll meet delivery deadlines in the services that you provide. Another benefice of a good inventory is that you will know in all moment the quantities of items available in the warehouse.

See? A good inventory is a logistic solution.


What happen if I don’t have a good inventory?

The consequences of a bad inventory are summarized in monetary loss. We bring you an example:

In the manufacturing industry each part has a high value and the non-disposal of those parts means a great loss.

There are other consequences of bad inventory:

  • Decrease: It will not be possible to discover if there are losses in any specific warehouse.
  • Theft: If there are subtractions of material, it will be not known.
  • Insufficiency: Without enough stock to sell, you’ll loss costumers… and money!

An answer to have a good logistic solution in inventory is the kitting service!


The secret of reduce inventory coasts: Kitting!

The logistic solutions of kitting allow a series of possibilities that help reduce inventory costs, here are the main ones:

  1. Reduce search time: Kits are made with all the parts that make up a product or with only one style of parts for quicker identification. The storage conditions of parts can make the difference.
  2. Optimize space: one of the most frequent problems in terms of inventory and warehousing is limited space. Whit a kit logistic all the space will be used optimally and you will not need to spend resources to set up another place or rent warehouses.
  3. Set up ongoing reports: This tool will help you concentrate all the inventory information and is a way to quickly know the stock you have.

Don’t wait any longer! Contact the best logistic company and hire your kitting services.


Your best option: First & Last Mile 3PL Logistics!

First & Last Mile 3PL Logistics have the logistics solutions that your company needs!

We’re the best logistic company in Mexico! Discover all the services that we have!

Contact us and start to enjoy the benefits of kitting!

And remember to follow us in our social media like Linkedin, Twitter, Instagram and Facebook.


Written by Ricardo Méndez, Copywriter.

Contact us

Helping you is our passion and achieving your excellence is our commitment.


Submit a Comment

Your email address will not be published. Required fields are marked *