Understanding Point of Sale and Point of Sale System
Point of Sale (POS) system is a system used in managing commercial good and services. POS system includes software and hardware. The term “Point of Sale” refers to the point where consumers take their needed goods and pay for them (for example in a grocery store). Supermarkets, boutiques, stores and other business firms make use of a POS system. POS system refers to the way or approach of transaction through the use of a machine or computer system. Small-sized businesses usually use computer type of POS system.
The electronic cash register is the most basic POS system. The items are passed through to a cash register, detect the item’s code and print a receipt. On the other hand, cash registers may be able to provide detailed reports on sales weekly, monthly or annually. In a more complex form of POS system, it features inventory management capacity where sales and items are tracked down; accounting features such as credit card checking and employee information recording.
Understanding the POS Hardware
POS hardware is the principal component of POS system. POS hardware includes display screen, customer display screen, cash drawer, swiping device (for credit cards), printer, computer and a bar code reader. All of these are components of POS terminal, the crucial component of POS hardware. POS terminal processes any transactions involving credit cards, debit cards and checking accounts.
Understanding the POS Software
While POS hardware centers on credits and checks, POS software keys on calculating sales through cash registers. POS softwares are programs that help function the whole system and is responsible on sending and receiving information or data in the system. Thus, Point of Sale Softwares are for data storage, and tracking and recording of sales.
The following are primary tasks of POS software:
- adds total sales
- shows sales tax
- displays customer’s change
- manages inventory sales (inventory database)
The inventory management capacity of Point of Sale system is very useful for business especially for those with multiple store chains. Besides from the product and service identification, most of the POS software inventory database secures SKU or Stock Keeping Unit where items and services are assigned per category (keyword search capability). In addition, there are POS softwares that have date-time sales recording where retailers may be able to establish on what’s-hot and what’s-not items over time.
Point of Sale is very broad and accurate kind of system in businesses.