In today's business environment, even many smaller businesses have come to rely on computerized inventory management systems. Certainly, there are plenty of small retail outlets, manufacturers, and other businesses that still rely on manual means of inventory tracking.
Indeed, for some businesses-?such as convenience stores, shoe stores, or nurseries-?the purchase of an electronic inventory tracking system might constitute a wasteful use of financial resources.But for firms operating in industries that feature high volume turnover of raw materials and/or finished pro-ducts, unauthorized tracking systems have emerged as a key component of business strategies aimed at increasing productivity and maintaining competitiveness. Moreover, the recent development of powerful computer programs capable of addressing a wide variety of record-keeping needs-?including inventory management-?in one integrated system have also contributed to the growing popularity of electronic inventory control options.Given such developments, it is little wonder that business experts commonly cite inventory management as a vital element that can spell the difference between success and failure in today's keenly competitive business world.
Writing in Production and Inventory Management Journal, Godwin Duo described telecommunications technology as a critical organizational asset that can help a company realize important competitive gains In the area of Inventory management.According to Duo, companies that make good use of this technology are far better equipped to succeed than those who rely on outdated or unwieldy methods of inventory control. Automation can drastically affect all phases of Inventory management, Including mounting and monitoring of Inventory Items; recording and retrieval of Item storage locations; recording changes to Inventory; and anticipating Inventory needs, including Inventory handling requirements. This Is true even of stand-alone systems that are not Integrated with other areas of the business.But many analysts Indicate that productivity-?and hence profitably-?galas that are garnered through use of automated systems can be Increased when a business Integrates Its Inventory control systems with other systems, such as accounting and sales, to better manage Inventory levels. According to Dennis Seeks In PC Week, business executives are "Increasingly Integrating financial data, such as accounts receivable, with sales Information that Includes customer histories.
The goal: to control Inventory quarter to quarter, so It doesn't come back to bite the bottom line. Key components of an Integrated system are general ledger, electronic data Interchange, database connectivity, and connections to a range of vertical business applications. " David Can, a director of product strategy for business applications at a firm In New York, confirmed this view In an Interview with Seeks: "What drives business Is optimization of working capital. The amount of control you have on Inventory equals the optimization of the capital.
That's why It's so Important to Integrate the Inventory data with everything else. " computerized inventory system By Regime-Inurn company realize important competitive gains in the area of inventory management. Automation can drastically affect all phases of inventory management, including counting and monitoring of inventory items; recording and retrieval of item storage actions; recording changes to inventory; and anticipating inventory needs, including inventory handling requirements.This is true even of stand-alone systems that are not integrated with other areas of the business.
But many analysts indicate that productivity-?and hence profitability-?gains that are garnered through use of automated systems can be increased when a business integrates its inventory inventory levels. According to Dennis Seeks in PC Week, business executives are "increasingly integrating financial data, such as accounts receivable, with sales information that includes customer histories.The goal: to control inventory quarter to quarter, so it doesn't come back to bite the bottom line. Key components of an integrated system are general ledger, electronic data interchange, database connectivity, and product strategy for business applications at a firm in New York, confirmed this view in an interview with Seeks: "What drives business is optimization of working capital. The amount of control you have on inventory equals the optimization of the capital.
That's why it's so important to integrate the inventory data with everything else. "
