More Inventory Management Technology Options Than Ever

When it comes to inventory management, there are several different systems and technology available right now that can help the process.

The most basic type is a manual system. Many small businesses that are just starting out might be able to get by with a spreadsheet-based approach in the beginning.

However, bigger operations will need to invest in automated inventory management technology. Computer tracking and tracing technology options, such as barcodes, are ideal for managing information and the flow of goods. Automated identification and data capture (AIDC) technologies like radio-frequency identification (RFID) chips can also be used in conjunction with inventory management systems.

RFID inventory management systems come in active and passive AIDC varieities. With passive systems, someone has to activate the receiver. In active systems, on the other hand, RFID tags are automatically detected and registered regardless of any other activities. This makes active systems a more attractive option, although their price can put them out of reach for some.

The rise of smartphone apps has also spurred the development of new types of inventory management systems that are akin to warehouse management systems but rely on manual data entry. This means that human errors can occur. Moreover, they are not particularly scalable when the time comes for a company to expand.

Another type of system, the continuous review system, only places orders once stock has reached a particular threshold but the same quantities are typically ordered. Periodic review systems will order items at the same time but the numbers change depending on the individual product needs.

Making the Right Choice

Given the vast number of warehouse management technologies and the constantly evolving market, there are many vendors out there vying for your business and they make a lot of big promises. However, choosing the right system requires a good understanding of the features on offer and which ones can help your business in particular.

This blog post was based off of an article from Cerasis. View the original here.

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