Ep. 023 - Cash is King

This podcast talks about how to manage the inventory of a business, as it directly impact the Cash Flow.

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This episode talks about preserving the Cash Flow in the business by smartly managing the inventory.

Because the inventory level is directly impacting the Cash Flow. Too much inventory means too much cash being locked in the form of products, limiting the business' ability to pay for overhead costs, such as salaries, as well as capital expenditures, such as buying new machines.

We will talk about two methods of managing inventory to preserve the cash, which are (1) Product Segmentation and (2) Safety Stocks settings.

By understanding whether the product segmentation is strategic or non-strategic, we can apply the right inventory strategy that best serves the business.

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