Having a good inventory system produces proven results when done well. Using correct and efficient systems can help foster business growth and productivity, as well as provide a stable platform to support further growth and operational health. Here we look at why good inventory systems are a must for business growth.
Keep up with demand accurately
Strategies that optimise inventory management are crucial to a company’s financial well-being. That is why a good inventory system is a must for business growth. When a company does not meet stock needs, their consumer reputation can be negatively impacted. As a result, their business suffers. Because many small businesses struggle with inventory management, cutbacks happen regularly – creating a downward spiral in business cycles. Good Inventory control and management systems are essential for the ongoing efficiency of your business and to meet the ongoing demands of operations. They provide accurate tracking of inventory, valuable forecasting capabilities and the ability to use automated techniques and functions too difficult to do manually.
Never miss a sale
We know sales are the lifeline of any business and profitability is the key component of business growth. Having a poor inventory system can lead to lost sales. There are plenty of ways things can go wrong, such as an employee telling a customer an item is out of stock, only to discover it is in stock later. Or worse, a customer is told to go to a different store that has the item when they actually don’t have it in stock. If you are confident in your inventory management system, these types of errors will become alleviated helping to enhance business growth.
Better planning with delivery dates
While you might make the sale at the beginning of the day, or even perhaps the beginning of the week, you may end up with a reputation for poor customer service if you start making a lot of late deliveries due to not actually having an inventory item in stock. You also do not want to make the customer wait to receive a shipment simply because you did not know when the vendor shipped new inventory to your location. With a good inventory system, you will be able to track your inventory precisely. When you have a good inventory system you know where your inventory is, and increased customer satisfaction, which then yields business growth, occurs as a result.
Keeping up with business growth with an inventory system
Advancing technologies have introduced new inventory systems especially that of cloud inventory software systems. Here all inventory is accessible by the cloud – online, anytime and anywhere. Specific features and services are an important part of industry leading businesses today. The best software providers have started to build these technologies into their products, making the task of implementing them that much easier for you to keep up with business growth.
Article by Melanie Chan in collaboration with our team of Unleashed Software inventory and business specialists. Melanie has been writing about inventory management for the past three years. When not writing about inventory management, you can find her eating her way through Auckland.