Learn about Warehouse and Inventory Management and How Companies are Implementing Them Today

Today we'll be introducing you to a little about warehouse and inventory management. How companies are implementing technologies for this purpose today and why it is so necessary to do it. If you are looking for apps or consulting to apply this to your company, read below.

What is Warehouse and Inventory Management?

Inventory management in a warehouse is the process that carries and manages information of products and raw materials within a warehouse or place arranged for storage, information as tracking, audit process, and management for the fulfillment of the orders.

At the same time, technologies for inventory are attentive to the quantities per product in the warehouse, refreshing stocks to optimal levels based on historical sales data, always looking for product replacement in due time.

But first, you must understand that inventory management and warehouse management are not the same. We show you below the difference between both:

Warehouse Management

The management of warehouses has a higher scope if we compare it with the inventory, always maintaining the efficiency in the movements of materials within the warehouse.

Among these large operations, we have the reception of incoming goods, tracking, stacking, and stock movement through the warehouse.

Warehouse management monitors the product's existence on the shelves, maintaining the quality of the goods while they are stored and until they are shipped out of the warehouse.

Inventory Management

Inventory management is extremely important for a company since it indirectly protects the company's assets in terms of material.

Inventory management includes ordering and reordering inventory, maintaining accurate inventory records, forecasting demand, and warranty. It also compares the amount of product in the warehouse with profits and must be in perfect balance with what is sold and what is stored.

An inventory management system is only one part of warehouse management, so it is much simpler. It provides important details of the total amount of stock held in a given storage location at any time.

Features of a Warehouse Management System (WMS)

  • Optimization, customizing, and the logic of the work.
  • Inventory tracking through identification technologies, and data storage, all with barcodes or RFID, to track the location of goods.
  • Use of technologies such as "pick to light" or "pick to voice" for reception and storage, generating guides in stock and inventory retrieval.
  • Another essential feature is picking and packing as it helps workers to pick and pack products in a more efficient way.
  • It helps to generate shipping guides and even send advance shipping notifications.
  • Closely monitor the work of your employees.
  • It helps drivers find the right unloading dock and assist in the cross-docking operation.
  • Analyzes warehouse operations to track KPIs and see areas for improvement.

Features of Inventory Management Tools

  • Take employees to pick and pack in the right places in the warehouse.
  • Provides information such as shipping, invoices, packing slips, and other related documents.
  • Direct employees to the correct placement of the item within the warehouse.
  • Assists with incoming orders to ensure proper operation and improve efficiency.
  • Tracking of inventory levels.
  • Generate a cycle count to keep the data updated.

Some Practices for Managing Your Warehouse Inventory

Define a Warehouse Manager:

To correctly manage their warehouses, all companies must place a manager in charge of all operations on-site, who is responsible for solving and making decisions at decisive moments.

The manager will be in charge of scanning each corresponding item within the warehouse and keep correct control, as well as regulate the warehouse inventory management software to maintain an overview of your inventory, among others.

Warehouse Layout:

The physical layout of your warehouse will help or hinder your warehouse employees to quickly pick up, package, and ship items when a sale is made or a transfer order is placed.

Implement Warehouse Inventory Management Software

Of course, we could not leave out this recommendation, because technology will always add to the work of people within any company.

The minimum requirements that tools must-have, we mentioned before, but they can be many more. For this, you would have to develop a customized software tool. Contact us for free advice on this matter.

We reach the end of the article, and we want to know your opinion about it. What has worked for you, what tools you use, or what doubts you have. Contact us, and let's grow together in warehouse and inventory management.

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