What is an inventory management system?
Inventory management is inclusive of activities that are required to ensure that the correct right amount of inventory is available in the place where it is required, at the time it is required, in the quantity and form required and at the right cost. Inventory can include a wide variety of items such as merchandise, tools, library books, equipment, fixed assets, or consumables.Inventory management systems make use of hardware and software to monitor the quantity, location and status of inventory. Such systems are also used to monitor other processes related to inventory like shipping, receiving, picking and storing. Thus, inventory management systems are systems used to control an organization’s overall inventory process. A good inventory management system is most essential to maintain an effective supply chain. It’s will help to keep track of existing inventory and to keep inventory management costs as minimum as possible. Organizations that use an efficient inventory management system have a significant competitive edge over rivals in the market. Inventory management systems can help to efficiently maintain control over inventory by automating the inventory process every step of the way. One of the most important features offered by inventory management systems is automation of physical inventory counting and cycle counting. For example, a company can make use of an inventory management system to automate the sales process. The system will provide a list of orders to be filled and will prompt workers to pick required items. It will additionally provide packaging and shipping information. If a company chooses to implement a real time inventory management system, wireless or mobile terminals will be used to record inventory transactions the moment they occur. A wireless LAN will transmits the transaction information to a central database.An organization using an inventory management system can cut down their inventory costs as it provides them with a tighter control of stock levels. Using software to implement inventory management will help enormously because it can be integrated with the sales department and web store, so that the sales team and customers can view real-time inventory and pricing. Businesses must need to keep proper track of their inventory in order to ensure customer satisfaction and to keep expenditures down and gains up.
About the Author
Joushua James - Inventory management systems Visit their website at: http://www.inventory-management-systems.info/
Tell others about
this page:
Comments? Questions? Email Here