Any business inventory expecting effectiveness in their day-to-day operations should possess the best inventory management software. It does not matter if you are purchasing the warehouse management system or an inventory tracking solution; what matters is the selected solution should bring ease and convenience in managing your work. One Accounting Software offers a comprehensive inventory management system that can be easily integrated with their Accounting Software. The option is either to purchase it along with Accounting Software or as standalone software that is specifically designed to suit every item in the inventory, which can be from products to services and from raw materials to finished goods.
#1. Stock Types
When you are looking for an inventory management solution, you are either offering services or providing products as part of your business stock. Therefore, the stock types are broadly classified into four different categories
• Raw materials and components
• Unfinished goods
• Finished goods and
• Consumables
Offering great flexibility to customize stock type according to your business needs, it is up to you to use this feature to its fullest potential.
According to their value, classifying stock is possible, which allows you to arrange the supply either in ascending or descending buy. In addition to that, you can plan expenditure on new and replacement stocks and concentrate on a specific lot of stock, driving more business profit.
#2. Methods to Control Stock
Usually, an inventory system will have different stock controlling methods deployed in the system. Always remember more the ways more is the benefit. If you have different types of stocks, then it is still better to opt for a system that has more than one integrated stock controlling method. Otherwise, choose the network offering the best way to suit your business and to your business needs. Here are a few stock control methods used in different inventory management software.
• Minimum Stock Level: Option to set a minimum stock level to reorder upon inventory stock reaching that level also be called as ‘Reorder Level.’
• Stock Reviews: Option to regularly review stock levels and, during each review, place an order to return stocks to a predominant level.
• Just-In-Time (JIT): Good for businesses aiming to cut stocks to a minimum level of reducing costs. Although this option poses a threat to run out of stock, inventory managers confident about their suppliers delivering on-demand heavily rely on this stock controlling method. Often for refining the stock control system, this method is used along with other processes.
• Reorder Lead Time: This is an option that allows time for businesses to place and receive orders of their stock.
• Economic Order Quantity: This is a standard formula used for incorporating a delicate balance between holding too much or too little inventory. If you want to do it manually, then it is a complicated and tedious process. Prefer this feature of the stock control method if you intend to manage your stock in a manner mentioned above.
• Batch Control: If you represent a manufacturing firm, then this formula is best for you that will allow you to manage stock of produced goods in batches.
• First In-First Out: Inventories managing perishable stock should look for this specific feature. It will enable inventory managers to use the perishable stock scientifically so it will not deteriorate. The software is designed so that it is defined or identified according to the received data and then moves on to each stage in a strict manner.
Inventory management software allows enough customization if your needs are predictable. You can align the software by ordering a fixed quantity of stock at a fixed interval of time.
#3. Type of Stock Control System
Making an inventory or list of stock, thereby understanding its location and value, is called stocktaking. It is often considered an annual activity, a kind of stock audit for calculating the amount of stock as part of the accounting process.
• With The Use of Bar Code:
Using a barcode is the latest trend in inventory management. However, it can be time-consuming at times, so advised to prefer according to individual choice. Radiofrequency identification tagging is another method, wherein handheld reader devices are used to continuously maintain and track the inventory. Remember, the inventory management system you prefer should allow you to track stock levels, make orders, and issue stock efficiently and effectively.
• With the use of Stock Cards: This method is integrated with the inventory management software for handling and managing complex inventories. In this feature, each type of stock is controlled by issuing a stock card containing specific information such as a description, value, location, reorder levels, details of suppliers, past stock history, etc.
A computerized inventory management system is always the best option if the business deals with different types of stocks. Some of the notable features that you should find in a comprehensive inventory management system are
-> Stock and pricing data is seamlessly integrated with the invoicing and accounting system. You do not have to repeat the entry of stock as all the courses are aligned to draw on the same data set.
-> Sales Order and Purchase Order processing are integrated into the stock balance system, and statistics are processed automatically along with the processed order.
-> Stock monitoring is automated, set to trigger an order after the specified criteria for reordering are reached.
-> Businesses producing goods in batches can manage their inventory with an automated batch control system.
-> Easily identify the cheapest and fastest supplier
-> Barcoding system enhances the entire processing and re-coding process. The software is designed to print and read the bar codes directly from the computer.
-> Radio Frequency Identification or RFID makes it possible to track the products or components through the entire supply chain.
Intending to help businesses, business owners, and warehouse managers save their valuable time and increase revenue, a Singapore-based company One Accounting has developed comprehensive inventory management software. The software suite cohesively addresses the entire range of functions and processes at the facility or inventory management center. Strategic portfolio planning to management and day-to-day operations to maintain and secure stocks using unparalleled technology One Accounting offers a customizable and flexible inventory management solution that easily integrates with its Accounting software.
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