As a small business owner, you wouldn’t be the first to think that inventory management is for large enterprises only. After all, you have a moderate stock to manage, a simple supply chain to monitor, and a small warehouse to supervise. Why get an inventory management software for it?
Inventory control, stock management and costing are not challenges for large businesses alone. It’s a challenge that businesses of all sizes are battling every day. As a SME/MSME owner, if you are ready to take your business to the next level of growth, here’s how inventory management solutions can help:
- Automate business processes
- Track and manage inventory and supply
- Provide data-backed reports and insights
- Improve purchase and pricing decisions
- Break the demand-supply gap and keep customers happy
Let’s take a closer look at each of them to understand how small businesses can benefit with an inventory control software.
- Process automation and digitisation for business efficiency
If you have been using online sheets for inventory management, then it’s time to upgrade. Online sheets, though a great place to start is not an end-to-end solution. By using a cloud inventory management software instead, you can automate and digitalise your inventory process, and also keep your business compliant, efficient and productive.
Using a software means manual tasks can be reduced. A barcode or QR scan can provide details on stock count, order status, vendors without manual checks. This helps to reduce errors, focus time on strategic tasks, and stay efficient.
- Real-time inventory tracking and management, simplified
Remember a time when you would schedule a courier and would be provided a 2-day delivery timeline?
Gone are those days. Today, you can send a courier and track its status online. Take the example of eCommerce shopping where you can track your order, check shipping details and more. Moreover, when placing an order, you can even check product availability (eg. Only 5 pieces remaining).
And this is possible because most businesses today rely on inventory management systems to manage stock as per customer demand and available supply. It helps in better time/cost management, reduced wastage, and plan purchase in time.
- Provide data-backed reports and insights
A small business usually has limited budget, warehouse space, and resources.
An inventory solution will help you with data on inventory – what’s in stock, what’s selling, what’s not selling or being returned, what’s the ETA on next stock, status of moving goods, and more. These data-points, when analysed help businesses in better decision making.
Inventory management tools provide analytical reports with insights on trends and forecast. For small businesses, this is helpful. They can plan storing goods for optimising revenue from sales, keep finances/cash flow in check, prevent losses due to damage or wastage and be future-ready.
- Improve purchase and pricing decisions
Another advantage of using an inventory software for small business is that it helps to plan purchase and pricing.
Inventory tools (eg. Arka inventory solutions) provide details on existing stock, availability and delivery timelines. They often also provide analysis on cost structure, profit margins, expenses and more. It allows businesses to purchase based on demand, and price products based on a relevant costing parameters.
This also keeps businesses compliant and maintains records and financial details for audit.
- Minimise demand-supply gap for better customer satisfaction
Customer satisfaction is a key component of success in a competitive business environment.
One way to improve customer experience is by providing customer delight. And inventory can have a direct impact on it. For instance:
- Receiving alerts on inventory status (fast selling goods, delivery, logistics) will enable timely purchase and stocking, and avoid customer disappointment
- For eCommerce, product availability messages like ‘will be available by 5 July’ will promote a better customer experience and even have them revisit
- Retail stores can forecast and stock-up before festivals to avoid stock-outs, offer discounts and adjust pricing on slow-selling items to clear stock
Getting an inventory management software for your MSME
Whether you are a small, medium or large business, you can always reap the benefits of having an inventory control solution for your business. Here are a couple of things to keep in mind when you buy an inventory management software:
- Identify the challenges your business is facing
- Think of your business’s growth plan and buy software that will cater to future needs
- Take a free demo or trial before purchase
- Read reviews and learn about after-sales service
- Go for a cloud-based software accessible 24/7
