What methods do you use to prevent stockouts and overstock situations?

Your Answer

How To Answer This Question?

This question is designed to evaluate your understanding of inventory control and your ability to balance stock levels effectively. When answering, highlight specific methods and tools you use to monitor inventory, forecast demand, and manage stock levels. Provide examples of how you've successfully prevented stockouts and overstock situations in the past.

Example Answer:

"To prevent stockouts and overstock situations, I use a combination of demand forecasting, safety stock calculations, and regular inventory audits. I utilize inventory management software to track stock levels in real-time and set reorder points. For instance, in my previous role, I implemented a just-in-time (JIT) inventory system that reduced overstock by 20% and minimized stockouts by 15%. Additionally, I regularly reviewed sales data and adjusted inventory levels based on seasonal trends and promotional activities."