Small businesses, family owned and operated businesses and startup businesses often try to operate using the leanest and lowest cost ways of doing business. While this is not a bad thing in itself, saving money but boosting inefficiency is always a bad decision.
One of the most common mistakes that these types of businesses make is to try to use old, outdated types of manual retail inventory management. Some companies are still using pen and paper recording methods while others may be used free systems such as spreadsheets or basic data entry programs.
Understanding the built-in inefficiencies with traditional stock control methods will help you to see why retail inventory management software is essential for your business.
Are You Still Counting?
Does your staff still count inventory into stock and then count inventory on the shelves to assess your sales? Perhaps you are using one inventory receiving method and a POS (Point of Sale) tracking app that is only capturing retail sales but not online sales?
These are labor-intensive options that have a high degree of a risk of human error. By upgrading to software and using scanners in and out, inventory levels are always precise.
Do You Have Real-Time Information?
If you are relying on information to place orders or make business decisions that aren’t in real-time, how accurate is that information? By having instant data that is to the minute, it is easier to make a decision that may impact several different locations and more strategically order and structure resources.
Can You Set Prices Across All Stores Instantly?
With top retail inventory management software, you can set prices easily through the master administrative dashboard. This allows instant changes in prices through POS systems that allow you to move inventory that may be piling up, freeing up your storerooms for incoming merchandise.
The more a retail business uses quality inventory management, the more its advantages and benefits can be realized. While these systems are an initial investment, they provide the structure and data needed to grow any retail business.