Let’s face it, not everyone loves doing inventory. Yes, it can be tedious at times, and the endless counting is down right torture, but inventory is valuable! Whether you sell commodities like coffee, clothing, beer, or toys or you tread towards specialty goods, your products hold value and they will be swapped for cash before you know it!
Inventory management is the record keeping of a company’s stock of goods and monitoring and controlling weight, portion, dimension, amount and allocation. When inventory is taken correctly, it will greatly reduce the costs of holding those goods for a period of time. The best inventory management systems will alert you when it is time to replenish stock or purchase raw materials to create more.
Of course, this is important because without the correct inventory, you may run low or completely out of a product. If you do not meet customer demand because of low or no inventory, it will create a real problem for the business. Doing inventory correctly will save the company money over time. It will help to avoid spoilage and dead stock, as well as save on costs like storage, shelf space, and maintenance.
Business News Daily lists the following ten tips for proper inventory management:
- Prioritize your inventory
- Track all product information
- Audit your inventory
- Analyze supplier performance
- Practice the 80/20 inventory rule – generally 80% of your profits should come from 20% of your inventory stock
- Be consistent in receiving stock
- Track sales
- Order restocks yourself – Do not rely on vendor’s doing inventory!
- Invest in Inventory Management technology
- Use technology that integrates well
Seems like those last two items are very important! Unfortunately, most inventory management software is either overpriced or it does not “play well with others” – meaning it is not the best at integration. Well with Wrkmash, you are getting a completely integrative tool that not only has inventory management but also automatically tracks sales and expenses. It helps you categorize your inventory and keep track of vendors and more. Enough with the excel sheets and the constant trips to the store or the warehouse to correct your inventory issues. There is a better brain for your business.