Industry Insights

The importance of stock control for businesses

The importance of stock control for businesses

Bad stock management or a lack of control over your stock can cause some serious damage to your business from both a financial aspect as well as in terms of your reputation in the market. Stock control is an essential part of any business and should be top of mind as far as priorities go.

Managing stock can often feel like a daunting task as it is a complicated job. It’s challenging to ensure you have the right amount of stock at the right time, to accurately track quantities, to keep an eye on trends and to ensure you know what products move well and what does not.

Having a good business management tool in place that can assist with stock control can make a huge difference to your business. If you are a growing business and if competition is tough and you are still running things the manual way, then it’s time to consider a new way of doing things. Here are a few key areas where a business management software solution, which includes stock management, can add value to the growing demands of your customers:

1. Increased productivity

Devices such as barcode scanners, in conjunction with the right software or business management system that includes stock control, have made inventory management much more efficient. These tools eliminate the manual process of taking inventory and we no longer have to take human error in to the equation, allowing employees to focus their time and energy on other critical areas of the business such as customer service.

2. Avoid over or understocking

For businesses to be successful, they need to have availability of their products. Running out of stock can damage the reputation of the company and result in financial loss.

Overstocking, on the other hand, can also have a negative impact on the business. Excess stock ties up the business’ capital amongst other things. Overstocking has many other implications as well such as warehousing costs, potential insurance costs, running the risk of products becoming out of date or obsolete and much more.

Stock control software helps ensure that businesses always have the optimum amount of stock; therefore, avoiding over or understocking to ensure supply and demand ratios are in tact.

3. Creates an organised warehouse

This is essential because disorganised warehouses can cause many issues. A business management software solution which can help better control your stock, is vital as it helps to create a strategy for an orderly warehouse, making stock control a more seamless process. Many companies optimise their warehouse space with the help of such software, by placing best selling products together, in easily accessible places within the warehouse. This means less time is wasted as employees will be able to find products more quickly and easily and complete orders promptly with less margin for errors or cost implications.

4. Keeps customers happy

If businesses want customers to keep coming back, they need to be able to meet the continued rise of customer demands, quickly and efficiently. Software that can help manage stock, provides businesses with the tools for complete control over product levels enabling themselves to have the right products at the right time to keep their customers happy.

5. Enables stock rationalisation

Having the right systems in place, provides businesses with a complete picture of how the business is performing, which items are performing well, and which are not.This allows companies to rationalise stock, enabling them to reduce overall costs and boost their profit margins.

Contact us today to discuss the best solution for your business.

Categories: Stock Control