Inventory management software can be beneficial to a wide range of businesses that need to keep track of their inventory levels, sales and purchasing.
If your business deals with inventory, whether it’s a product-based or service-based business, you can benefit from using inventory management software to keep track of your inventory levels and streamline your operations.
The ability to efficiently track and manage your inventory can have a significant impact on your business’s overall success.
Businesses that should consider inventory management software
- Retail businesses: Whether it’s a brick-and-mortar store or an eCommerce website, retail businesses need an inventory management software that allows for real-time inventory tracking to keep track of their inventory levels to ensure they have enough products to meet customer demand.
- Manufacturing businesses: Manufacturing businesses need to keep track of their raw materials and finished products to ensure they have the necessary resources to fulfil orders. An inventory management software that handles supply chain management is important for a manufacturer to make sure raw materials are ordered and will arrive in time to be utilised for the final product. Likewise, a system that caters to a Bill of Materials (BOM) management means the various materials needed to create the product can be tracked and reordered as necessary.
- Wholesale businesses: Wholesalers need to manage their inventory levels to ensure they have enough products to supply their retail customers. A software programme that allows for the ability to track and trace products is important for transparency, and to be able to react rapidly if there are any issues such as a batch going missing or being delivered to an incorrect address. This delivers efficiency and traceability.
- Distribution businesses: Distributors need to keep track of their inventory levels to ensure they have the necessary products to fulfil orders from their customers.
- Service-based businesses: Some service-based businesses, such as cleaning and maintenance services, may need to manage their inventory levels to ensure they have enough supplies to complete their jobs.
Choosing an inventory management software that is right for your business
Choosing the right inventory management software can be a challenging task, given the numerous options available in the market.
Here are a few key factors to consider when deciding on the best inventory management software for your business:
– Your Budget
How much are you willing to spend on an inventory management system? An initial set up fee as well as a monthly subscription fee and customer support packages needs to be considered. Some packages are tiered, so you also need to consider which features are essential and which are nice to have.
– Multi-channel inventory tracking and eCommerce Integration
If your business operates an eCommerce store, it’s crucial to choose an inventory management system that integrates seamlessly and can track inventory across channels including eCommerce platforms, marketplaces and in-house websites. This integration ensures that your inventory levels are updated in real-time as orders are placed, and that your inventory data is accurate across all channels.
Look for software that supports integration with popular eCommerce platforms like Shopify, Amazon and others.
– Software Integration
You need to consider how well the inventory management software integrates with your current system and other software programmes.
API (Application Programming Interface) integration in inventory management software allows different software applications to communicate and share data with each other seamlessly. APIs work by allowing two different software applications to interact with each other through a predefined set of rules and protocols. When you initiate an API call, you are essentially asking the software application to provide you with a specific set of data or functionality. The software then sends a response back to you in a format that can be easily interpreted by your software application.
API integration is crucial for businesses that use multiple software applications to manage different aspects of their operations. When selecting an inventory management system, ensure that it supports API integration, allowing for easy data exchange between systems. This integration ensures that all your business systems work together seamlessly, eliminating the need for manual data entry and reducing errors.
When choosing the right application for your business you should note that some software may have a limited number of API calls per day, while others may allow for unlimited API calls. The limitations may also be based on the pricing plan or subscription level that you choose.
– Point of Sale (POS) Integration
For businesses with a physical retail presence, POS integration is essential. Look for inventory management software that integrates with your POS system to ensure accurate inventory tracking and management across all your sales channels. This integration also ensures that your inventory data is up to date in real-time, reducing the risk of overselling or underselling.
As your business grows, so will your inventory management needs. Ensure that the software you choose can scale with your business’s growth without requiring significant changes or upgrades. Look for software that has the capacity to handle spikes, can handle many products, multiple locations, and high order volumes.
However, weigh this against your budget. You don’t want to pay for high data capacity if it’s for a one-time event or at a level that isn’t expected for a few years.
– Mobile Access
In today’s fast-paced business world, mobile access to inventory management data is critical. An inventory management software that offers a mobile app or a responsive web interface that can be accessed from any device will allow you to monitor inventory levels, track orders and manage your inventory on-the-go.
– User-Friendly Interface
The ease of use of an inventory management system is crucial. A user-friendly interface that is easy to navigate and requires minimal training to get started will ensure that your team can quickly adapt to the new system, reducing the risk of errors and increasing productivity.
– Reporting and Analytics
Accurate reporting and analytics are critical for making informed business decisions. A platform that offers comprehensive reporting and analytics capabilities, allows you to track inventory levels, monitor sales performance and identify trends. This information is vital for optimising your inventory management processes and improving your overall business operations.
Selecting the right inventory management software is critical for any business looking to optimise their inventory management processes.
Chat to the team at Radical Cloud Solutions for more information on our recommended cloud-based solutions for your inventory management needs. Besides being an implementation partner, Radical Cloud Solutions also offers support and training to ensure you get the most out of your chosen software.