Last Updated on January 8, 2023 by Faiza Murtaza
We want to see up-to-date inventory balances and transactions regardless of location or time in this day and age. We need to be able to record and track inventory transactions regardless of location, such as when we are a customer. Inventory management in an Excel spreadsheet or grid book does not serve our changing needs. There is a huge amount of paperwork, calculation, tabulation and file comparison. To have confidence in the timeliness and accuracy of the information, the data collection processes must be in order, and the systems used must be easy to use and efficient.
In the best situation, stock management is integrated into the company’s overall process, supporting sales and streamlining production. Here’s why stock management is the ultimate need for a business in 2022.
Say Goodbye To Paper And Excel Spreadsheets
When moving to mobile devices, the employee no longer needs to enter the data in the Excel spreadsheets separately into the ERP system. Abandoning paper notes and inventory accounting in Excel makes the company’s operations easier and more efficient. The data reliability of an ERP system is significantly improved when stock management is part of a comprehensive ERP system, and no separate data transfers between systems are required.
A typical warehouse challenge is for employees to record notes and inventory entries, each in their style, leading to unnecessary mistakes and unclear situations. Inventory management as part of an ERP system supports effortless data flow and data availability.
More Efficient Operation
Utilizing data is vital to business. With better data, warehouse workers can work more efficiently. You no longer have to spend time searching for goods, as all products have their shelves and the system tells you where they are. Inventory balance alerts remind you when you need to order more stock. In addition, information is available on when the goods arrive at the warehouse, which helps in production planning when it is known when the goods will be available again.
Stock Balances Visible In Real-Time
Inventory management as part of an ERP system enables a company to operate more efficiently when information is available in real-time. When production and sales are linked as part of stock management, inventory alerts can be used to streamline production planning. Inventory balance alerts remind you to order more on time, so the inventory status stays up-to-date, and you don’t have to wait for components. Up-to-date inventory data can be utilized, for example, in purchasing planning when you see when a product is moving. On the other hand, sales can promise customers reliable delivery dates when inventory balances are available.
Read More: Adjusting Entries Vs Closing Entries
Annual Inventories Are Getting Easier.
Materials management can be organized to keep inventory accounting up to date. This is a continuous inventory when the stock’s current value is constantly ensured in the stock records. In this case, the inventory does not need to be closed during inventory. The stock management system constantly checks the balance and reports deviations, reconciled by calculating product balances.
Streamline Your Business With Instore Stock Management App
Many efficiency problems start in stock, and goods can be found on the wrong shelves, not sure if the product has been ordered and how many. Inventory problems easily recur and are also reflected further down the chain. A company’s stock management requires systematicity to keep operations under control. The larger the selection, the more important the stock management system becomes to the company.
When all the information is in a comprehensive business platform that is updated in real-time, it is possible to address inconsistencies between received goods and purchase orders more quickly. This prevents erroneous values from accumulating in inventory balances. Problems arise when the quantities do not match the recorded stock figures with the actual quantities of goods. If inventory records show that products are available, they may end up being sold to customers – even though there is not enough stuff in reality.
An instore stock management app reduces errors that can easily occur in manual stock management – transactions are forgotten to be recorded or recorded in the wrong place, making keeping the system up-to-date and accurate very challenging. If the goods are in the wrong place, they will not find their way to the customer, even if the goods are in stock.