In the past I have worked in retail for five consecutive years. I have worked for many well known companies, such as Victoria’s Secret, Hollister Co., and Wilson’s Leather to name a few. Customer service was our primary role and we were really focused on the customers. But other than that, inventory was just as important. It was the backbone of the company.  Without a sufficient amount of inventory, we would not be able to make our sales.

As an employee at Victoria’s Secret, we had a huge back room where we had our inventory stock. It was shelves and and rows full of the many items we sold. I was in charge of counting all the items we had in stock every two months. I would record the quantity and sizes of each item we had. It was torturous due to how stocked our inventory was. But in return this was great for our customers. If they didn’t find their size on the sales floor, more than likely we had it in the back room. At times we would be at fault for ordering more than what we needed, which made our stock room a bit messy. That caused for our inventoried items to be missplaced at times.


In contrast to having an abundant stock room, as an employee at Wilson’s Leather, I noticed over time we were not efficiently stocked. Our back room was much too small to have a large inventory of leather coats. This caused turmoil between the company and its customers. If the jacket on the sales floor was not in their size, more than likely we did not have it in the back. We would use the alternative of calling other Wilson’s Leather stores in the area and send the customer to another location. This caused us to lose many sales and new customers. It seemed as though we were more of a boutique due to the size of our store and how it could not accomadate a well stocked inventory room.

In conclusion, inventory plays a vital role in a company’s overall performance and customer service satisfaction. Inventory generates sales and allows customers to have confidence in the company, for having the item they want. At Victoria’s Secret we would get audited yearly and it allowed us to see how many total items we should have , compared to what we truly have.


Do you think Inventory truly affects a company’s overall performance?

8 thoughts on “INVENTORY TIME!

  1. Inventory definitely plays a key role in a company’s performance. Without having sufficient inventory you will loose sales and ultimately customers. On the other side though, depending on the companies industry, having too much inventory may cause you to lose money if newer and updated merchandise comes in. Customers will not pay full price for an outdated product, so these products much be discounted causing the company to lose money. This is why Dell using “Just in Time” inventory. Instead of having outdated already built computers sitting on their shelves they will build to order allowing them to get the maximum price for their products because they are never outdated at the time of sale.

  2. Inventory contributes largely to the success and overall performance of a company. Like you said when you worked at victoria’s secret there was a large stock room that allowed you to keep different items in stock. While at Wilson’s you had less merchandise on hand. I feel that since the merchandise at VS is in higher demand than a high quality leather coat. There is more volume sold so more volume is needed to be kept on hand. There are many stores when you are looking for high quality suits for instance that they will take your measurements then have you return with the item has arrived or been made at the store. There are many different types of inventory methods to choose from and I believe it depends on the type of industry and store you have that will lead you to the correct system.

  3. Indeed, inventory plays a crucial role in the success of any company. Equally important as mentioned in the post is to have the inventory organized. If you don’t then you might end up buying more inventory then needed, and it can pretty much screw up the accounting aspect as well for year end. I think it the managers responsibility to push their employees to put things back where they found it!

  4. Inventory is crucial in a company. When they do not have enough of inventory they can easily lose a customer. Victoria Secret has such high demand that if they do not have sizes available in the back they will lose a customer. Inventory should be well organized so it is easy for someone to find the certain size or color. This is why managers should emphasize this to their employees if they want to keep their loyal customers.

  5. Yes, no inventory no sale. But stores would have to do with what they got so it is understandable with the leather store to loose customer but their sales will e up to par with the store unlike the bras where it may be spending to much on inventory. Maybe a better way of keeping track of inventory and critical point to order more inventory.

  6. I currently work at a retail store as well and have been for about a month now. Even though sales are typically good I think one of the downsides of our store is not having inventory. As a sales associate we’re supposed to say that whatever is typically on the floor is what we have. We can check to see if the other stores have the certain item a customer is looking for. However, depending on how badly this customer wants the product.. we automatically lose a sale if a different store has a product and we don’t. So yes, I do believe that having inventory is key. But I also feel that compared to other chain stores since our inventory is not as large as the others the employees can focus more on cleanliness and organization which attracts the customers as well.

  7. Inventory absolutely affects a company’s overall performance. As we have talked about and practiced in class, inventory can help or hurt a company by under or over buying. If someone doesn’t have the product on hand they can possibly lose a sale because a person will most likely try to go find it elsewhere. Also, knowing what the store has is important. Some stores are so unorganized and not together..especially stores such as TJ Max and Marshall’s. There are clothes and other objects everywhere. The stores are so unorganized that is has to be impossible to keep up with inventory. Somehow they manage though!

  8. Generally speaking, the issue of inventory management is crucial in businesses that require inventories for their operations (some companies do not require inventory such as firms of consultancy services). Inventories are crucial for companies to achieve their mission. For this reason, companies must have a system, structured technically, that allowed them to have inventories in the necessary quantities at the right time and the minimum quality required for their operations to stay ahead smoothly. But this is not an easy task, as there are very strong factors beyond the control of the organization that impacts for companies fail in their inventory management. For example, a hospital required to have minimum inventories of certain medications, can be seriously affected by a strike of employees of its suppliers. Hence, this question arises: should the companies have high inventory levels to ensure compliance of their operations?

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