Implementing a system to manage the inventories can be a hectic task for business owners from different business backgrounds. Either the person owns a small scale business like retail stores or the corporate car manufacturing companies, warehouse management is always an overwhelming job. There are several things that make the inventory control system as complicated process. One should consider the size of the warehouse and it is necessary to serialize the product as per expiry date so that it is easy to track the product that has crossed expiry date. It is necessary to appoint the technical experts to perform the inventory control since it plays a crucial role in raising the profit of a company. Finally, it is mandatory to think about a budget that is allotted for inventory management. There are different methods available for handling the materials in the warehouse and each has its own advantages and disadvantages. Three familiar methods of inventory control and they are internal inventory management with spreadsheets, delegating inventories with companies that perform warehousing and distributions and final method is to use software that is specifically designed for managing inventories. The three methods of inventory control and their merits and demerits are given below.
1. In-house Spreadsheet Method:
The quality of spreadsheet management is incredible only for the person who knows all the available function in a spreadsheet. If you have an employee in your company who knows everything about the spreadsheet, then you can opt for this method. The main advantage of this method is that you need not to spend cost for anything other than staffing since, many offices have spreadsheet installed in their computers. The disadvantage is that, the spreadsheet is not specifically created for performing inventory control. And, the spreadsheet that is created should be understandable for anyone to open it and work on it. Since, most of the employees in the warehouse are under-trained in using a spreadsheet.
2. Special Software For Inventory Control System:
To overcome all the disadvantages in a spreadsheet, there is software available online to perform inventory control and the employee in the company can just install them on the computer and start using it. A number of special inventory software available to support businesses of any size. The main advantage is that, they are easy and user friendly method to handle the warehouse materials. But, the main disadvantage is that the employee requires training before using the software.
Approaching the third party company to perform the inventory control task can help you to get rid of problems present in inventory control. You can find many warehouse management firms that take care about maintaining and distributing your goods. The main advantage is that the inventory control is handled by inventory professionals who can perform your work in a quick and efficient way. Additionally, the professionals will spend 100% of their time in managing the inventories. Outsourcing warehouse management is possible for every business and some of the companies will not only perform warehouse management, they also take care of transferring their customer’s product to market or any other places. The cost of spending for outsourcing inventory control is low as compared to internal inventory management. The disadvantage is very low as compared to other inventory control system.