A stronger inventory mix with $54,931 less capital tied up in idle inventory.  

 

INDUSTRY

Automotive Dealership Parts Department 

CHALLENGE

Improve inventory productivity while reducing capital tied up in idle stock and maintaining a more efficient overall inventory investment.  

RESULTS

From October 2025 to October 2026, Arundel Ford increased Productive Inventory by $10,486, or 15.7%, while reducing Idle Inventory by $54,931, or 21.5%. Total Inventory also decreased by $107,405, demonstrating a stronger inventory mix with more dollars supporting productive stock and less capital tied up in idle parts. 

KEY PRODUCT

PartsEdge

About Arundel Ford

Arundel Ford's parts department, led by Parts Manager Cathy White, focused on improving inventory performance by increasing productive stock while reducing capital tied up in idle inventory. With PartsEdge, the dealership worked toward a healthier inventory mix that better supports stocking needs and sales activity. From October 2025 to October 2026, Arundel Ford achieved measurable improvements in inventory composition while reducing its overall inventory investment. 

The Challenge

Maintaining a healthy parts inventory means having the right parts available while minimizing capital tied up in stock that isn't contributing to sales. In October 2025, Arundel Ford carried $470,269 in Total Inventory, including $255,848 in idle inventory. The opportunity was to improve the balance between productive and idle stock, reduce unnecessary inventory investment, and put more inventory dollars toward parts with demonstrated demand. 

The Solution

Using PartsEdge to support inventory visibility and analysis, Arundel Ford focused on creating a more productive allocation of its inventory investment. By identifying opportunities to improve productive stock while reducing forced and obsolete inventory, the dealership strengthened its inventory mix without increasing its overall investment. Greater visibility into stocking performance helped support decisions that kept more capital working in productive inventory and less tied up in idle parts. 

The Results

From October 2025 to October 2026, Arundel Ford increased Productive Inventory from $66,719 to $77,205, a gain of $10,486, or 15.7%. At the same time, Idle Inventory decreased from $255,848 to $200,917, a reduction of $54,931, or 21.5%. Total Inventory also declined by $107,405, or 22.8%, from $470,269 to $362,864. Within the idle inventory categories, Forced Inventory finished October 2026 at $92,559, down 36.0% compared with its trailing 12-month historical average, while obsolete inventory declined by $2,798 from October 2025. The additional $10,486 in Productive Inventory represents an estimated $3,880 in potential gross profit at a 37% margin, assuming that additional inventory generates sales. Together, these improvements demonstrate a healthier inventory investment, with more productive stock and substantially less capital tied up in idle inventory.