Controlling and tracking the sales of your products is easier and faster if you have an automated process. Through management systems you can keep a digital inventory control that helps you streamline and improve sales processes as well as the organization of the items so that you can have greater confidence with the customer. Read more about this below.
What is automated inventory control?
This is the modern process that uses advanced technology or digital tools to manage inventory within an organization’s supply chain.
Thanks to the transformation, we are able to save valuable time and reduce or streamline repetitive tasks such as placing barcodes, scanning products, organizing the supply warehouse and searching for availability.
Automated inventory control aligns with business processes and integrates the team with technology, improving supply chain management and efficiency with greater speed and accuracy of operation.
It is true that inventory management is not complicated, but by automating it, companies and especially the team balance time wisely without neglecting customer orders.
You may also be interested in: Data economics applied to business
Inventory management systems
Also called inventory control software, it is a program with rules, methods and procedures necessary to plan and control the products or materials used by a company through a computer in order to operate more efficiently.
This system allows knowing the quantity of items, estimating when to replenish and reconciling physical stocks with those recorded in the documentation.
Benefits of digital inventory control system
- Increased efficiency in meeting production demands
- Determination and maintenance of reorder points
- Improve the purchasing process
- Management of customer order deliveries
- Facilitates understanding and tracking of product rotation
- Provides indicator data
- Real-time product monitoring
- Integration with other management systems
You may also be interested in: Transformational leadership for change management
Steps to implement an inventory control system
1. Organize and complement your inventory information.
This will allow you to have a more realistic view of your situation and thus optimize them. Keeping an updated and refined catalog of your products will help you achieve greater confidence with your customers.
It is essential to eliminate products that you no longer handle and those that are repeated. In addition, classifying them by groups of items and related to each of your suppliers will make the search process easier.
2. Classify your products
Amplifying the previous point, it is important to categorize products into at least the following 3 classifications:
- High turnover products: those that have constant sales.
- Seasonal products: those used at a specific time of the year.
- Special or made-to-order products: these are those sold on an occasional basis due to extraordinary requirements.
This way you can offer a better service and streamline your inventory tracking process.
3. Establish inventory days
Based on the frequency of purchase and the time it takes for delivery from the supplier, define when you enter new inventory, this could be daily, weekly, monthly or even quarterly. The idea is to establish this so you don’t lose a customer who wants to buy from you and you don’t have the product.
4. Calculate maxima, minima and reorder points.
Continuing with the previous point, establish the maximum time, the minimum purchase and the point to organize the inventory, taking into account that temporary or special products. Carefully consider the maximum level to avoid excess merchandise that will generate storage costs if the product takes a long time to be sold.
5. Compare the information with your current inventories
It is important that from time to time you compare the information you have with the inventories. Count them and analyze that the calculations are correct, so that you can make decisions such as making a strategy or sales promotion and reach the optimal levels of merchandise according to what suits your company best.
6. Monitor your inventories in real time
Verify with the system in real time, how many products are left, which ones you need to buy again and be able to take advantage of the space and the cost of transportation instead of making several individual purchases at the moment of requiring each product separately.
7. Constant updating of information
Product trends tend to change, so it is important to make periodic reviews of the information and update it constantly. Do this at least annually and make sure you have reliable data to make all decisions.
You may also be interested in: Positions required for a company in the process of digitalization
Remember that success lies in data analysis, being flexible and adapting proactively to new situations by keeping a digital inventory control. Implement a complete ERP like Gestion Direct to help you manage your inventory and other areas of your company. Request your free trial now through gestiodirect@gd.eu.
