When discussing inventory management, the word inventory control gives the illusion that it is managed within a set of constraints that allow for appropriate use of a business’s inventory. Our partners at RFgen share some tips on spotting poorly managed inventory control and how to improve it.
The thought of overhauling warehouse inventory systems can be daunting. Businesses visualize expensive technology, extensive system resets and abrupt production halts, though the alternative results in outdated inventory tracking, manual data entry errors, and the loss of thousands of dollars to inefficient processes.
According to RFgen, the costs of poor inventory management are:
- Inventory bloat that accrues unnecessary storage costs.
- Rushed orders due to inaccurate inventory records.
- Stockouts resulting from poor inventory management.
- High operating costs because of inefficient processes.
As costs rise, profitability decreases, and the money spent to correct inventory errors could be spent modernizing/automating the system. It will cause more detriment to the bottom line and leave businesses behind the competition.
A modern mobile barcoding solution like RFgen can provide 99.9% inventory accuracy. You can’t get much better than that, and the financial investment for an automated solution that works seamlessly with a business’s ERP system will surely return on the investment much faster than expending funds on labor for a poorly managed manual inventory control process. “Automation is not a luxury for manufacturers that can afford it, it is the new standard for maintaining profitability. The market is sailing towards automation and modernization at full speed. Those hesitant to jump aboard will drown. It takes pinpoint accuracy throughout production to compete in the supply chain.”
Pragmatyxs stays current on the advances in inventory control and is ready to help our customers implement barcoding and labeling solutions to ensure their business retains a competitive advantage.