How to Become an Inventory Manager: A Step-by-Step Guide

Are you looking for a career shift?

Maybe you have some serious good management skills, and your level of attention to detail is no equal.

Keeping an eye on the products that make businesses work is the kind of thing that you see yourself doing with success.

Then, here’s some good news for you

You could fit well in any inventory management job description

But what exactly does an inventory manager do, and how can you become one?

‍

We all have been there

Sometimes, during a busy period like the holidays, we walk into our favorite store and are in awe of how they seem to have everything we need. 

And if that’s not the case…well, let’s just say that we feel all sorts of frustrated.

But who’s responsible for one scenario or the other?

The inventory manager, that’s who.

The inventory manager is the person responsible for keeping a careful record of every single product the company has in store. They basically work around three main questions:

• What products are coming in?
• What products are going out?
• What products does the company need to reorder ASAP?

‍

In charge of overseeing other people working in the company’s inventory department and the warehouse staff, they also coordinate with suppliers and other departments like production or sales to make sure that products are running as expected.

‍

What a Typical Day Looks Like for an Inventory Manager?

The exact responsibilities might vary depending on what industry you are working in, but generally, you can find some common tasks that define the role of an inventory manager:

Keeping track of stock levels

This is the most fundamental one, as it determines the rhythm of the company’s supply chain.  You’ll monitor what’s in stock, what’s running low, and what’s gathering dust on the shelves. Basically, you’re considered the go-to person for knowing what’s where at all times.

Ordering new inventory 

Nobody likes to walk into a store, ready to buy something, only to find out the product is missing. When stock gets low, it’s on you to place orders and make sure new items arrive on time. You’ll probably work closely with suppliers and manufacturers to prevent possible disruptions.

Forecasting demand 

Are you comfortable making predictions that can impact the future of a business?

You should be 

You’ll use sales data, seasonal trends, and a little bit of intuition based on knowledge, of course, to predict what’s going to be needed, and when.

Managing inventory software 

While being in charge of all the details that happen in an inventory might seem a bit daunting, nowadays you can rely on well-designed and user-friendly digital tools to keep everything organized and updated. 

Do you want to share some important information with a stakeholder? 

The software can get the report done for you.

Coordinating with other teams 

As we mentioned above, the inventory manager works in parallel with multiple people.You’ll be chatting with warehouse staff, talking to the sales team, maybe even jumping into a meeting with finance. Inventory touches every part of the business, and you’re the link that connects it all.

Preventing overstock and shortages 

Too much inventory can be just as bad as too little. This is where forecasting comes in handy, because that’s how you are going to determine the perfect balance so the company isn’t wasting space or missing out on sales.

Handling audits and reports 

Have you ever seen a manager who doesn’t deal with some degree of paperwork? As an inventory manager, you’ll be asked to prepare regular reports, do inventory checks, and make sure everything matches up.

‍

Educational Requirements

What degree do you need?

It’s common practice to hire people who have some academic background related to the operations of a business, like business administration or supply chain management, but if that’s not the case and you studied another subject, don’t panic. 

While a degree in those areas is considered a plus, they are not the only pathway to gain a job as a inventory manager,  relevant experience is perhaps even more important than what you studied during your college days. 

If you are still determined to gain official certifications, you’d do great by checking out options like:

• Certified in Production and Inventory Management (CPIM)
• Certified Supply Chain Professional (CSCP)
• Certified Inventory Optimization Professional (CIOP)

‍

Get the Right Experience

You won’t become an inventory manager overnight, as we’ve been seeing, the role involves multiple responsibilities, with so many factors depending on the success of your performance, it makes sense to acquire as much inside knowledge as possible before a promotion, right?

Most people begin in entry-level positions like: Inventory clerk, stock associate, warehouse assistant, or purchase assistant. 

These jobs are where you’ll learn all the key details about your future career, how inventory systems work, how to track stock, how to spot issues before they turn into bigger problems. As you gain experience, you’ll take on more responsibility, maybe managing small inventory projects, helping with audits, or training new staff. 

‍

Inventory manager skills 

Be organized

Do you have a great time making sure all the smallest details fit into the big picture?

Do you create spreadsheets just for fun?

Then you are on the right track

Inventory management is all about keeping track of what matters and what could matter in the near future. You don’t want to run into stockouts, but you also don’t want to purchase more than you need. If you’re naturally organized, then that’s a good sign.

‍

Comfortable with technology

Inventory managers rely on software to keep everything running smoothly. 

Programs like ERP systems, barcode scanners, and inventory management tools are part of your daily routine. Don’t worry, you don’t need to be a tech genius, but being comfortable with digital tools and learning how to use them to your advantage is a must-have nowadays.

‍

Mathematics

Would you like to make mathematical calculations?

Numbers just come to you?

As an inventory manager, you will use math a lot. From tracking inventory counts to calculating order quantities, budgets, and reorder points, being comfortable with basic arithmetic, percentages, and simple formulas is simply essential.

‍

Time management

Like we said before, so many things can go right or not in the company, based on how well you can manage your responsibilities. Prioritizing tasks and keeping cool under pressure is a big part of what makes a great inventory manager stand out

‍

Communication matters

You’ll be working with a bunch of different teams, and each one of them is going to have different requirements from you. A good inventory manager needs to be completely capable of bringing people together and explaining things in a language that makes sense for their expectations.

‍