Explain the term 'stock control': - Leaving Cert Business - Question 11 - 2010

Stock control refers to the processes and techniques employed by a business to manage its inventory efficiently. It ensures that the organization maintains sufficient stock to meet customer demands while simultaneously minimizing holding costs associated with excess inventory.

Effective stock control involves:

1. Balancing Supply and Demand: By keeping an optimal level of stock, businesses can satisfy customer needs without overstocking, which can lead to unnecessary costs.

2. Minimizing Costs: Businesses aim to reduce costs related to storing and managing inventory. This includes avoiding wastage due to spoilage or obsolescence.

3. Maintaining Records: Keeping detailed records of stock levels helps businesses track inventory, making it easier to reorder items before they run out and reducing the risk of over-purchasing.

4. Implementing Inventory Systems: Utilizing inventory management systems can assist in automating stock control processes, leading to increased efficiency and accuracy.