Inventory is usually the largest asset, as well as the largest expense item for manufacturers. Executives are continually charging their staffs with reducing inventory levels to preserve working capital and avoid inventory carrying costs. Most experts agree annual inventory carrying cost range between 10% to 35% and include: capital costs, warehousing, labor, insurance and taxes.
Even with the most sophisticated inventory management strategies, manufacturers are forced to increase inventory levels due to the inefficiencies that are inherent in all supply chains.
EDX ‘s Inventory Ownership program improves the working capital positions of our customers while reducing their annual inventory carrying cost by as much as 50%.
EDX will purchase, own, warehouse and fulfill inventory anywhere in the world for a period of up to 10 years.