Replenishing of stock comes every month in most organizations to avoid going out of stock, but this increases the chances of stock outages and overstock bringing about losses in some cases. That is why there is a need for the implementation of an online ERP software called Inventory management software that will be used to organize inventory data which previously, has always be stored in spreadsheets or any hard-copy to avoid inventory outages or overstock.
What is Inventory management software?
Inventory management software is an ERP software system used to monitor inventory levels, sales, orders and deliveries to eliminate the chances of product outages, overstock or understock.
Benefits of Inventory management software.
This ERP software is used for so many purposes, and this has standardized its position as one of the top ERP solutions. The benefits of IMS to organizations include;
- It reduces organization carry cost
- It keeps track of inventory levels and product sales to customers.
- It reduces product obsolesces and spoilage
- It avoids loosing of customers due to missing out on sales as a result of out-of-stock situations
- It maintains a balance between overstock and understock
- it serves as a pick and pack devices, picking, packing and shipping items from a warehouse
Features of Inventory management software.
Inventory management software is regarded as one of the top 10 ERP software’s because of the several key components it entails which helps the organization in creating an organized inventory system. The features include;
- Service management: Organizations use inventory software to track the cost of materials used to provide services thus providing an insight into the total cost of performing the services. In this way, they can attach prices to their services
- Product tracking: IMS can track product in a warehouse via its barcode or serial number thus reducing the rate of fraud or theft.
- Recorder point: An organization inventory management system can be programmed in a way to instruct managers when to reorder a product. This prevents running out of products for organizations.
- Identification of product: Inventory software can use QR codes or NFC tags to recognize inventory items to provide an option for the organization to track inventory using barcode scanning hardware without the need to get expensive scanning hardware.
Advantages of Inventory management software.
- This ERP software helps companies minimize expenses by cutting out the number of unnecessary parts and products in storage.
- It increases business efficiency with its ability to automate many inventory-related tasks like collecting data, creating records and so on
- This online ERP software grant employees enough information access to receive products, make orders and do other tasks without compromising the company security.
- Inventory management software makes it possible to track where products are stocked, the length of time they are stored, and even which supplier they come from thus allowing the company to control inventory levels and utilize warehouse space.
Stock outages and not meeting the urgent need and demand of customers can be a hindrance to the growth of an organization, but with inventory management software, it not only reduces the chances of stock outages or understock, but it also reduces companies cost of carrying products to the warehouse.