The presence or lack of an Inventory Management Software affects your bottom Iine no matter the size of your business. It is the bedrock of any business and an integral part of profit making. Any savvy and discerning business owner understands that the movement and replenishment of inventory leads to transactions. But the ability to manage the movement of that inventory efficiently is what leads to profit or losses and missed opportunities in the market place.
Defining Inventory management Software
To define it simply, Inventory Management Software is software that consists of business applications that can track, manage and organize product sales, material purchases and other manufacturing processes.
Decades ago businesses would employ some form of manual inventory control by either scribbling daily sales of goods vis-à-vis goods remaining in the store or by entering the same information onto excel sheets with the advent of the computer age. Using these records, they would determine when it is time to replenish the inventory. Now, not to discredit this method because if employed judiciously it works, but we can agree that it was a fairly tedious and time consuming process prone to error if the data entry is not keyed in properly or is delayed.
The presence of inventory management software has changed the way data is captured and information translated. This has impacted the business environment positively especially in improving efficiencies in inventory control for businesses of all sizes. As IT mogul and businessman Steve Jobs once said “the best way to create value in the 21st century is to connect creativity with technology.”
What are the benefits of inventory management software also referred to as point of sale software?
- Saves man-hours that would have otherwise been lost in basic tracking
- Provides more efficiency in capturing data allowing for accurate analysis
- Curbs inefficiencies detected in the business model as result of the analysis
- Provides timely reports after a specific time period as well as alerts on when to order for more goods so that you are not over-stocked or under-stocked at any given time.
There has long been a common misconception that Inventory management software is only for larger business outfits with massive daily movement of goods and transactions. However, there is no enterprise that is too small or too big not to benefit immensely from the technological advancement in point of sale software.
Enterprises can now use point of sale software based on bar-codes or radio frequency identification (RFID) to monitor goods coming in and out, sales as they happen and the inventory available in the storeroom or warehouse in real time.
— Cayan Partners (@cayan_partners) 3 de junio de 2017