Managing inventory is one of the most challenging tasks. It is not only about knowing as to which item is stored where but also about the process of optimizing your warehouse to make sure that it remains balanced with the outflow. In fact, maintaining optimum levels of stock depends on several factors such as knowing the requirements of customers and making accurate forecasts for the future.
Efficient ERP software tracks as well as maintains even minute details related to purchase and sale orders. This enables you to have real-time visibility as regards your inventory. Further, it makes it easy for you to analyze the buying behavior of customers and plan warehouse stocks. Having said that here is how ERP enables optimization of inventory level.
Overall Control on Inventory
Warehouses have to track items that move fast and slow in order to plan purchases. ERP software helps you to streamline inventory management by enabling you to view the operations in real time under one platform. The ERP solution can be used in managing stock levels, irrespective of the size of your establishment or the number of items involved. In addition to allowing you to optimize stock levels through efficient replenishment planning, ERP software generates inventory analysis reports. This helps you to make informed decisions and improve profits.
Improvement in Stock Administration
Stock administration is all about tracking shelf life of products, allocation of bins depending on category, knowing the price of goods brought in or taken out of the warehouse, and keeping track of problems related to stocks. An ERP system allows you to exercise good control over these aspects. In fact, it allows you to classify and group items in the inventory in multiple ways. High-quality ERPs come with an easy-to-use user interface and make tagging and classifying items, getting details of products, use of multiple measurement units, managing valuation methods, setting allocation methods, identifying standard suppliers, tracking various costs, and finding substitutes for items much easier.
ERP systems help to automate all warehouse operations right from stock entry to delivering products to suppliers or customers. They aid in the management of multiple activities including bin allocation, stock transfer between stores, and stock adjustment as well as shipment. You can also access bin locations for determining a product’s exact position. In addition, they provide complete information related to the status of the stock movement.
Eliminate Quality Concerns
ERP systems also enable you to monitor the quality of the items in the inventory. This is because the in-built tools allow you to define your own quality inspection plans. This way you can make sure that the stocks pass through a testing phase wherein they will be thoroughly checked for signs of damages, information discrepancies, or other faults. ERP systems, therefore, eliminate unnecessary stock handling and empower you in providing superior customer service.
In conclusion, the optimization of warehouse management increases productivity and helps you to improve the bottom line of your business.
Zerone Technologies, a leader in systems integration, offers software solutions for both small and large companies. The company partners with leading software brands to deliver the best solutions to their customers.