Inventory Control Software

Inventory control software enables the businessman to maintain enough inventory to adequately serve the customer without incurring the high cost of carrying too much inventory. In a retail environment a bar code scanner will record the sale of product in the computer’s database.  Performing an accurate inventory count at the beginning and end of the chosen inventory period and comparing the reduction of inventory to the sales made at the retail point of sale will allow the business owner to balance his sales data against inventory usage data.  For example if the point of sale (POS) register indicates that 1000 of “widget A” were sold in one month then the inventory usage figures should also show that 1000 of “widget A” were consumed from the warehouse inventory.  If the inventory usage figures exceed the point of sale figures there could be warehouse theft or wastage in the case of perishables.  This could also mean that cashiers were not ringing up all the items sold and could indicate cash theft.

Accurate inventory figures are maintained by taking inventory counts with a hand held digital device that can upload inventory data to the computer.  The inventory control software can then create management reports indicating whether or not the inventory usage balances with the product sales. Tracking sales volume can lead to establishing proper levels of inventory to keep on hand to insure no shortages.  When the proper stocking quantities for each inventory item has been established the actual inventory count can be compared to the desired inventory levels by the inventory control software and an order to each supplier can be generated by the computer and then transmitted directly to the supplier.  This order can then be used by the warehouse supervisor to compare against the shipment received to insure the supplier is delivering the correct amount of goods.

The value of associating the point of sale data with warehouse usage data can be readily seen as a deterrent to theft and as an aid in insuring the customer is served properly.

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