Every retail and supply type of business depends on inventory. The same is also true for production types of companies where in-house inventory is critical to keep the lines running. Finding simple, effective and efficient options to optimize and manage inventory is critical to the success of these businesses.
Think of inventory optimization software as a system to allow for supply and demand balancing. By having the correct supply of inventory on hand, a business can meet demands without having to incur additional costs of storing inventory that isn’t moving, adjusting for seasonal inventory changes and also avoid over selling leading to customer frustration and the challenges of dealing with back orders.
The Current Challenges
With most retailers, the current challenges with inventory control include the lack of ability to have a full understanding of inventory levels, sales trends and supply chain costs, and options. This poses risks when planning business expansions or going through times of growth.
In addition, multiple locations, different checkout methods, online sales and other factors can limit the effectiveness of manual inventory monitoring. These can also lead to the need for the use of several apps or programs for inventory in and inventory out management.
By using a comprehensive inventory optimization software program, everything needed to make decisions, track sales trends and to place orders with suppliers is available through one program. This not only makes planning and ordering inventory easier, but it also allows the business owner to track exactly where specific products are selling.
Inventory software will allow for the transfer of inventory between locations to maximize sales potentials and to prevent backup of inventory in poorly performing areas while also providing maximum inventory levels in high sales locations.
With real-time information through inventory optimization software available, even multi-location retailers will have complete access to the latest information about their on-hand inventory, placed orders, and their sales.
