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Inventory control is easy to accomplish when you use the right tools. With the variety of solutions available, like MAS software for instance, you can: * Track the number of units available * The number of units on order * Current sales orders * Quantity of units sold over a particular period With this information, you can determine which is the unit most in demand, who your best customers are, what they order and when. This information will help you determine a strategy for your business and allow you to increase your profit, whilst spending less time worrying about your back office.
When you are ready to start the process of choosing inventory control software, you need to consider several factors to make the right decision. 1. You need to track the cost of warehousing your inventory - the costs associated with the building itself, electricity, maintenance and the locations of verious items in verious warehouses etc. 2. Sales ordering system that incorporates inventory with discounts, shipping costs and other customer issues. 3. Purchase order creation and tracking. 4. Assembly production (in you do assembly prior to shipping yout items) 5. Inventory management in terms of what you carry, hold and ship to reduce your overhead costs and optimize manufacturing and selling cycles. 6. Shipping software
Inventory management must be customized depending on your industry. Clearly a software company is going to have a much different inventory than a manufacturing company with items like household appliances or teddy bears. If you are manufacturing company looking for the right inventory control software solution you should look for modules that will meet the following needs: * Manufacturing systems that are more focused on product or shipping assembly in a streamlined fashion. * Manufacturing management systems that incorporate work order and labor and production costs. * Management of byproducts from disassembly or scrap * Planning and scheduling production and assembly lines * Required production materials management * Estimation of cost, time and product development capability * Quality control cost/time * Project management and job costing analysis
The switch from a manual inventory to an inventory control software may seem daunting to the small business owner, but the switch need not be painful, time-consuming or complicated. Transferring your inventory is as simple as following the instructions on the screen. If you choose a reputable accounting and inventory software company, they will help you choose the right software project, get the right accounting software training and consult with you on switching over to a new computerized system.
Fixed asset inventory management will be yet another facet of your accounting software needs. In many cases, your fixed assets will be warehoused, and you should consider incorporating a bar code and sky system if you have not already done so. This reduces instances of user error in counting and keeping track of existing inventory and the right accounting software module will incorporate your bar code data. All of this data should feed into your general ledger to give you a straight figure of what you have in house and what you may need to order, produce or buy in order to meet the needs of your business. Finally, if you ship or sell internationally, you wil need a software product that will incorporate exchange rates and currencies so you can calculate your production costs in an apples to apples comparison taking into account favorable or infavorable exchange rates and other international currency fluctuations.
|Jennifer Mathes, Ph.D.|