Unlock profitability and strategic inventory management.
Dr. Sharma's medical practice faced challenges in managing its pharmaceutical and supply inventory efficiently. Capital was tied up in slow-moving or obsolete items, hindering cash flow and overall profitability. She needed a clear picture of which inventory items were generating the most returns.
By using the GMROI Calculator, Dr. Sharma was able to identify high-performing inventory and areas for improvement. The calculator revealed that by focusing on items with a high GMROI, she could reduce unnecessary inventory costs and allocate capital more effectively, potentially improving profitability by 10%.
The GMROI Calculator was used to analyze the cost of goods sold and average inventory cost for each product. This data, combined with industry benchmarks, highlighted areas where inventory management could be improved.
$35,000 increase in annual gross profit by optimizing inventory management and reducing holding costs.
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