Understanding what items are in your warehouse and knowing which items are going in or out of your facility can help you prevent fraud, speed up fulfillment, and lower costs. Balancing your accounts, providing financial reporting, and assessing current assets are all important roles in your supply chain that require good management of inventory. Manually tackling this job is not the most efficient way. There are numerous delays and errors that can occur when a human has to take on these multiple tasks.
Setting up an automated inventory management system for your warehousing operations can help you make smarter and more effective decisions as a business operator. Inventory control allows you to have a greater insight into your stock and a real-time update of your goods. Here are some additional benefits of an automated inventory management system.
Manually entering inventory each day, or e-mailing and calling employees to find out how much inventory is in stock are not scalable actions. If you have multiple warehouse locations, this is an even more time-consuming and frustrating task. As the volume of inventory grows, this manual system becomes less effective and the risk of mistakes increases dramatically. Moving to automated systems is the tested and proven way to scale your business. Automatic inventory management can help you gather information faster, and make better use of your time.
Decrease Human Error
Using spreadsheet templates simply doesn’t cut it anymore. Manual entry can open opportunities for human error that can cause over or under purchasing of restock, and other issues with selling. Switching to automated inventory tracking will keep your customers happy, everyone on your team will be using the same calculations, and your employees won’t need to recount stock due to errors that are common in manual counting. Inventory management systems increase productivity on a large scale.
Automated inventory tracking and reporting will save you hours that you would normally spend with manual entry. This saved time allows you to focus on other important areas of your business.
A good automatic inventory management system can help you monitor your inventory and have a local view of your stock across your channels. You can easily find out how many items are in stock and at which locations. This also allows you to find inventory in specific sales channels, which is great for businesses with multiple warehousing locations.
Shortage of stock can mean late product deliveries to customers, which will harm your reputation as a business. With automatic inventory management, you will have better control to manage customer expectations.
The stock reports generated from this automatic management process can help you see which items are doing well versus those that are simply taking up shelf space. If you rely on manual entry, it will be more challenging to have accurate quantities. A lack of the right inventory at the right time can lead to back orders, overstock, and upset customers.
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