Can you imagine how companies and stores manage to do their inventory several years back? Before computers became available to facilitate the performance of some of the routine manual work, several tasks, such as taking inventory, were done manually. Depending on the size of the business or store, it could take a week or two and the combined effort of accounting, warehouse and staff from other departments involved. Today, the inventory process is faster. It is also accurate. It can manage and track the receipt and shipment in real time, giving you a more accurate sales forecast and avoiding overstocking and understocking. Still, there are many entrepreneurs, especially small ones, who are not yet sold on the idea of investing in an inventory management system. A small business needs to manage its business processes efficiently to make a profit. Having up-to-date inventory reports is one of those processes that can lead to savings and better results.
1) Saves time
An inventory management system saves you time. If you’re still inventorying manually, that means you’ll need to match receipts to your physical inventory. Depending on the size of your store and the number of products you sell, you understand how time-consuming this can be. With an integrated inventory management system that combines financial accounting, point-of-sale (POS) system and master inventory, the individual processes are connected automatically and together, so that you or the manager only need to print the report daily, where you see in at a glance which stock needs to be replenished.
2) Better control over inventory levels
You can plan accurately when you have better control of inventory levels. Good inventory management software can help you stay ahead of seasonal changes and stock the right amount of products for high demand curves.
With an automated stock system you always have accurate reports. There is always the possibility that mistakes can occur when inventory is done by hand and it can be easily overlooked. Miscalculation and typing errors can lead to losses or additional costs.
When you’re busy running your business to ensure it grows and continues to bring you profits, your processes need to be maintained and executed consistently. You are assured of a uniform presentation and professional appearance of your orders, inventory and other financial reports, despite the fact that they are drawn up by different people.
Who wouldn’t want their warehouse organized? You have one if you use a stock system. You can optimize your warehouse by knowing which products have the highest sales, so you can group them together for easier access. You can even categorize your inventory for better identification and order processing.
6) Increase in productivity and efficiency
If you want to increase the productivity and efficiency of your business processes and your staff, a good inventory management system offers that. An inventory management program and devices such as barcode scanners will greatly improve your productivity and efficiency as you can do away with manual processes. Your staff will be able to focus on other business areas that require human oversight rather than automation.
7) Customer Satisfaction:
You’ll have happier customers who want to come to your store more often. It’s hard to win customer loyalty if you can’t meet their needs when they want you to. With a good automated inventory system, you can quickly meet customer demand by having the right products as soon as your customer comes to order them.
For small and medium businesses, the best solution is to find the right inventory management software that is affordable and robust to meet your needs. It should also be easy to understand and use, as well as scalable and expandable with your business growth.