Inventory management systems are a critical part any company with a warehouse. With the right processes in place, a company can track inventory levels, create purchasing schedules and clear unwanted inventory efficiently. However, there isn’t one specific way to track inventory. Depending on the size of your warehouse, how frequently product is moving and the type of good you are storing, it may shape the type of inventory management system you want implement with your company. On top of this, technology is constantly evolving and online inventory management tools are rapidly changing to keep up with it.
Online inventory management has the ability to track and record warehouse data in real-time. That means there is always up-to-date information about the stability of your current stock. The constant tracking provides numerous opportunities to leverage data before problems arise. It allows you to mitigate stock-outs and get in touch with suppliers faster to place orders.
Not only does an online inventory management system bring a multitude of benefits to the company, but the system can also pass on benefits to customers, yielding high rates of customer satisfaction. It’s important to highlight what positives inventory management can contribute to overall customer satisfaction. This can provide motivation and encouragement to implement an online inventory management system.
Reduced Fulfilment Times
With an inventory management set up that gives you real-time data, it’s easy to keep inventory control in check. When your inventory levels are stable, it’s easy to reduce the amount of time it takes to fulfil orders. With an online system, you are able to track product sales and analyse the data. This can highlight which items are selling well and which aren’t. Prepare your inventory better by stocking appropriate amounts of popular items determined from previous sales information. You will be better prepared to ship items out and reduce fulfilment times. When you are able to ship out items faster, customers will be satisfied that they were able to receive it in a timely manner.
There are certain products that might peak around holiday seasons or at certain times of the year. You can plan around these times better and stock these goods in a limited quantity to keep overall inventory costs at a minimum. Since you’ll be equipped to handle seasonal demand, you’ll be able to quickly fulfil orders quickly and increase customer satisfaction.
Optimise your pricing
With an effective online inventory management system, you’ll know more about your buyer behaviour and product trends. This means you’ll be able to optimise the amount of time your products are sitting on the shelves in your warehouse. Keeping inventory for the shortest amount of time will allow you to reduce inventory costs.
With reduced inventory costs, your company will see the benefits and so will your customers. It will be more feasible to reduce product prices since your inventory costs have reduced by optimising shelf time. When lower prices are passed on to customers, this leads to satisfaction.
There are many other benefits including product returns and your ability to maintain healthy stock levels. Your customers and your company will both be satisfied with the positive impacts of online inventory management.
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.