Inventory management may not be an interesting topic to anyone, but ability to track goods is very much needed when you are in a product-based business. You need to have accurate information about inventory to meet customers’ expectations by anticipating their future demands.
Perpetual or Periodic Inventory?
Earlier, you needed to perform a physical count of goods on paper or the on-premise systems and different team members required to keep the data to know what material a distributor had with him and what material the manufacturer had in his warehouse. This is known as the periodic inventory system, since every information is updated periodically.
In contrast to periodic inventory, perpetual inventory management software allows real-time updates for inventory count. This denotes that employees use bar code scanners to track every activity like sales, purchases and returns right at the moment they happen. This way, information is continuously updated to the inventory within the adjusted database that flawlessly tracks every change.
How is Perpetual Inventory Management Software Good for You?
In past years, inventory management software advancements and its ability to integrate with several business systems have turned the perpetual inventory into a powerful as well as more practical option. Below are three main advantages that perpetual inventory system has over the traditional periodic system:
Reducing waste: When you run a business, you must know that possessing more than one inventory can be harmful and lead to wastage. However, carrying too little can also put you to risk of disappointing your existing customers. With perpetual inventory software, you are able to have instant visibility into your stock levels that lets you respond to demands at the fastest.
Increased accuracy: Inventory management software largely depends on automation, specially for real-time updates via bar code scanners. This also helps in removing potential human errors, typos as well as overlap so that the business can have a more accurate picture of its inventory system at any given time.
Improved warehouse management: When you know which items are frequently restocked or needed more often, you are able to effectively organize and manage an effective warehouse. An inventory management software that can connect your warehouse to the POS, enables the warehouse manager to plan best for the available space and resources.
Since inventory management system is designed to provide you better and clear business insight from the ground up, it helps you run a lean warehouse. For all these benefits of a perpetual inventory management software are useful to find the real-time product value of your products, you can opt for NetSuite industry solutions. Finding a right NetSuite ERP consultant can be a hectic job, since there are a lot of them out there. We, at NetSuite Expert can resolve your complexities by offering end-to-end NetSuite consulting services for your entire inventory management requirements. Availing NetSuite consulting from our NetSuite consultants, you can have quickest recovery from your present inventory system.