Why is Inventory Planning Software Beneficial for Your Business?

 What do you think is at the core of your business? Your excellent marketing strategies, or your online and offline footprints...Well, neither of those. The heart of your business is inventory management and efficient Inventory Planning Software. Why? As reported by IHL, businesses lost more than $1.75 trillion in 2020 to mismanaged inventory, and retailers lost more than $505 billion due to an out-of-stock inventory. Now, even if you have the most extensive marketing campaign, without proper inventory management, you will lose revenue.  

Still, various businesses use spreadsheets or inefficient ways to manage their inventory. Imagine a customer looking at your store or website sitting there to give you sales and money but can’t. Because you do not have the stock, or even if you have, you don’t know where the product is and how much time it will take to deliver it. This is a classic mismanaged inventory example. There are thousands of businesses that go through this scenario daily. Still, instead of rectifying the problem, they keep focusing on production.  

Read on to understand what makes Inventory Management Software essential for your business, but before we dive right in, here is some basic of inventory management.  

What is Inventory Management?  

Supervising your inventory throughout the supply chain process, i.e., beginning from procurement to final delivery to customers, is called inventory management. In simpler words, the process of buying, using, procuring, selling, and managing the inventory is called inventory management.  

For effective management, you should always seek assistance from Inventory Management Software. The software saves you time, minimizes the probability of human error, and more.  

What is Inventory Management Software?  

Inventory management software is a tool that automates the inventory management process, increases efficiency, and enhances productivity & precision. The inventory planning software helps you manage, track, and forecast inventory. The software streamlines the various processes and provides you with real-time inventory updates.  

Why do you need Inventory Management Software?  

Here is how Inventory Management Software helps you manage your inventory:  

1. Provides better control over your inventory: The software allows you to track inventory in real time, giving you proper control. It highlights the number of current stocks, the number of products in transit, delivered products, and much more. The software tracks products from the time it enters the supply chain as raw materials and supervises them until they exit or reach the final customer. It eliminates the probability of human error and delivers precise performance.  
2. Prevent overstock or understock: As stated above, the software helps you track inventory precisely, which helps avoid understocking or overstocking. The software sends alerts when your stock is about to finish, and based on cues, you can manufacture more. Also, real-time tracking helps you supervise if your warehouse is full of stock so that you can halt or reduce the production rate.  
3. Decreases the cost incurred: By preventing you from understocking or overstocking, the software allows you to save money and reduce costs. In case of overstocking, you will need to incur the cost of maintaining an additional storage facility, whereas, while understocking, you will have to procure expensive materials. Thus, the software helps you reduce costs.  
4. Enhances supply chain: The software aims to uplift your supply chain by diversifying your strategies. Currently, the market is full of abrupt changes making it unpredictable. So, you must be well prepared and have a well-organized software bid in your favor.  
5. Improved inventory forecasting and planning: The inventory forecasting software helps you forecast your inventory accurately. It results in better decisions by doing enhanced inventory planning and stops you from being a spendthrift.  

Inventory management has become necessary these days so that you can achieve your projected growth. The rising and falling of the market is part and parcel of business but leaving everything to the markets’ fate is also irrelevant. Thus, why not use a leading Inventory planning software such as TransImpact. It provides you with all the benefits mentioned above and much more.  

Do not just trust us. Get in touch with one of our experts and feel the difference TransImpact could deliver for your business.