Business Basics: Top Tips for Quality Inventory Tracking

Managing your inventory effectively is one of the core principles for a successful business. You need to be able to track your inventory in order to make a profit. Here are some tips for how to develop a quality inventory tracking system.

Two-Person Verification

People are prone to making mistakes when performing tasks that involve multiple items. Using a two-person verification system can cut down on these costly mistakes. Try this method when your employees are unloading your company’s freightliner truck. This way you will start the process of inventory management out right. It will give you an accurate count of the items that you have received. Have a designated area to perform the offloading. You don’t want the new inventory to get mixed up with your existing inventory. This can lead to your counts being off.

Conduct Quarterly Audits

Waiting until the end of the year to perform a physical count of your inventory is ineffective. If you notice a discrepancy, it’s too late to do anything about it. Conducting quarterly inventory audits allows you to have more control of the system. You may need to conduct more physical counts until you get a handle on the process. Having an accurate count of your inventory can help you save some money. You won’t be reordering unnecessary items. There is also the benefit of not running out of items that are popular.

Use Technology for Tracking

Technology is a great resource to help you keep accurate tabs on your inventory. You have several options when it comes to tracking your inventory. Some companies assign bar codes to their goods. This cuts down on the amount of time that is required to remove items from inventory. You can also use mobile devices to take items out of inventory. An employee would essentially need to sign out this items. Using this type of system saves you time on reordering and tracking your inventory metrics.

Label and Organize

A part of quality inventory tracking is to be organized. Having all of your items properly labeled saves time in trying to track them down. You can even use technology to help you with this task. Having assigned areas and sections for where everything is stored can make your employees more efficient. The second part of this is to have a system in which older items are used before newer ones. This will cut down on waste for items that have expiration dates.

Using technology and being organized are key to creating a quality inventory tracking system. You can save money and time by effectively managing your inventory.

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