‘Inventory’ includes raw materials, work-in-process, supplies and finished goods. It has associated costs, which may be classified as ordering costs and holding costs. Modern inventory management practices encourage holding amounts adequate for current needs – warehouse managers will tell you that it’s unwise to hold large quantities in the warehouse. In most situations, a certain level or an optimum level has to be maintained to accommodate the production or business needs. Max MÃ¼ller, the author of ‘Essentials of Inventory Management,’ says that it’s an art to control on-hand inventory as a physical object (shelf count) and as an intangible object (record count and monetary worth). Warehouse managers have long felt needs such as appreciating the fundamental differences between finished goods, raw materials and work-in-process products: how to apply formulae to calculate it, compute breakeven points, profit margins, mark-ups and markdowns, selling price and margin percentages, select the cycle counting for the businesses, perform A-B-C analysis, recognize and analyze dysfunctions within the business, employ problem-solving techniques, control physical location of inventory more efficiently, and analyze whether or not RFID is adequate; and being aware of supply management risks and solutions.
So, why should you care about inventory management? Inventory is money and its management plays an important role in an environment where the organization suffers from poor cash flow or has no control over electronic information transfer among departments and suppliers, lead times, and quality of materials received. Obtaining and holding inventory is necessary to manage predictability, fluctuations in demand, unreliability of supply, price protection, buffer or safety quantities, anticipation stock, or transit products. Cloud computing approaches offer an added advantage of lowering IT costs by driving out administrative operations.
Tools available for managing inventory have analytical and optimization techniques, and spreadsheets make it easy to test models and perform what-if analysis. Warehouse managers dealing with large-scale implementations prefer software tools. Independent and specialized management and optimization software are popular even though there are inventory management and supply chain management modules within popular ERP systems. We understand that inventory control is critical for loss prevention and our team has developed inventory management software to help you to efficiently manage stocks. We’ve designed the software to leverage on the advantages offered by cloud computing. Warehouse personnel can quickly scan the location and/or item bar code, and enter the quantity using a handheld device with an integrated reader. It’s easy to set reorder points with minimum and maximum levels for each item. The software will even print barcodes for you if your items do not have them. If your stock is managed manually or with spreadsheets, you’ll find our cloud-based software useful in avoiding setbacks due to insufficient products. Schools, colleges and universities, companies, hospitals and restaurants, retail stores and warehouses using vendor managed stock have benefitted by deploying our inventory management software.
MÃ¼ller, M. (2011). Essentials of Inventory Management. U.S.A.: American Management Association.
About IntelliTrack, Inc.
IntelliTrack, Inc. is the leading developer of affordable software applications for barcode, RFID, batch, and Wi-Fi (RF) data collection. Specializing in Inventory and Asset Management, IntelliTrack applications include inventory control, warehouse management and asset tracking. IntelliTrack software runs on mobile computers from Motorola, Datalogic, and Unitech. More than 20,000 copies of IntelliTrack software have been deployed on over 50,000 mobile computers and wireless terminals worldwide. The results are cost effective with easy to apply solutions. For more information about IntelliTrack software applications, visit: http://www.intellitrack.net, or contact Ron Pawlowski at firstname.lastname@example.org.
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