Various benefits of inventory management erp
inventory management in erp is a software system which keeps track of all the different stages of inventory, receiving product orders, managing sales and product delivery. Apart from inventory it is also significant in areas related to production. Industries can use it to make documents like generating work order, bill of materials etc related to production. It brings a huge loss to a company when products are stored in large amount and remain unused for many years. This leads to degradation of the quality of products and their wastage inventory management erp records the details of the inventory like name, quantity and delivery date in the form of soft copy and updates it on a regular basis. So this prevents occurrence of situations which leads to its wastage. Its advanced tools helps to gain insight to all the activities related to manufacture, storage, supply etc that helps effectively manage the levels and costs of inventory. It understands the needs of customers and accordingly delivers desired results to them and efficiently solves their queries. Following are some of the benefits of Inventory management in erp: •
It brings all employees in an organization in different fields like procurement, manufacture, sales, accounts, customer service etc together under one roof.
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With its self service feature and centralized system, all the information related to their product order, delivery and payment is kept at one place. This makes it easy for customers, vendors and other concerned people to access data. This also helps in making strong ties with customer.
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Built using latest technology it provides an easy and efficient flow of information across various areas of inventory like processing of orders, quotation and pricing, delivery etc. It helps an organization to integrate different areas of inventory from procurement of order to receiving amount.
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It has a set of automated tools which helps to generates invoices quickly, maintains a record of it and settles payment process efficiently and precisely. As the whole process is automated and rather manual, so possibilities of mistakes are negligible.
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It has specialized tools and techniques which provides real time view and highlights on the overall functioning of its procedures and thus enhancing organization performance.
Some of the reasons of using inventory management erp software in an organization:
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To track the inventory as it is carried from vendors place to warehouse, and then to retail place or customer.
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Collecting inventories from different locations and storing it in the warehouse
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Packaging inventories in warehouse for shipment
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To minimise product carrying costs
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Maintain a record pertaining to sales of products and the levels of inventory
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Reducing wastage of inventories due to excess storage
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Preventing situations leading to deficiency of stock