What is
Inventory control?

Inventory control is a process that aids in purchasing the right quantity of products at the right time and have them in stock to avoid shortages, overstocks, so that we can have an optimized inventory. Inventory control helps in making the best use of the resources, avoids product spoilage and cuts down on the carrying costs and ensures the stores have the correct number of products available to the customers.

Importance of Inventory control

Inventory control is essential to maintain consistency in business and boost the adequate cash flow by having the right set of products, in the right place, and at the right time. It is possible to offer the best service to the customers, by eliminating the shortage of stocks and satisfying their demands. With good inventory planning and control it is possible to streamline and maintain the continuity in all the backend operations and have store inventory control. It is possible to guarantee the effective flow of goods and services by understanding the fluctuating demands of the customer and delighting them without any compromise over their needs.

How can Inventory control systems help businesses?

Inventory control plays a vital role in determining the success/failure of any business. An Inventory control system helps the stores grow by paving the path to high business efficiency. Inventory management enhances the business in many ways,

High operational flexibility

Improves production efficiency

Strengthens competitive ability

Reduces inventory carrying costs

Fosters economic efficiency

Boosts revenue with high turnovers

Eliminates costly operational interruptions

Effective resource utilization

Advantages of Inventory control

Businesses can enjoy innumerable benefits by managing their inventory effectively using inventory control software. The prime goal of inventory management is to expand profits by effectively managing the cash flows to have an optimized inventory.

Meet your customer's demands and maximize your profit levels by eliminating the interruptions in production

Plan the inventory based on the risk of loss due to deterioration

Avoid shortage of materials and guarantee smoother production operations

Increase sales through improved customer service

Reduce the costs spent on labor associated with inventory management

Control the inventory proactively by having a competitive edge in the market

Minimize the storage costs by having an optimized inventory and utilize the space effectively

Plan the purchases based on the customer's needs and demands

Sell more by knowing the customer purchasing trends in the marketplace

Start and end with Smart purchases

  • Plan Smart purchases
  • Categorize stocks
  • Stock audits
  • Inventory analysis
  • Dead stock clearance
  • Sales and Purchase returns
  • Control over expiry, damage and wastage
  • Refilling
  • Execute Smart purchases

Plan Smart purchases

Analyze the trends with real-time data by doing perpetual inventory audits, and gain insights into every product value. Know the sales trends well, understand the demands and determine reorder points with good knowledge and visibility.

Categorize stocks

Categorize the stocks well as it helps in having a proper product distribution, easy and comfortable stock counting to data-srcentify the stock discrepancies and movement.

Stock audits

Evaluate the stocks properly with regular stock counting, as it helps in eliminating the back order scenarios where one has to order the items due to lack of supply which might disturb the customer satisfaction due to the unavailability of items on hand at the time of sales.

Inventory analysis

Analyze your inventory regularly to understand and bridge the gaps so that the supply can meet the demands. Stock analysis helps you know what and when the replenishment of stocks can be done to avoid interruptions. Inventory analysis can be done better by understanding the FSN (Fast, Slow, Non-Moving) analysis, where you can identify the fast-moving, slow-moving, and non-moving stocks. This analysis helps to get rid of the non-moving inventory and avoid the undesirable inventory carrying costs.

Dead stock clearance

Before restocking you have to analyze and clear the dead stocks so that you do not end up losing the precious space to store these products. When you analyze and clear these unwanted dead stocks you can save more on storage, cost spent on equipment etc. Proper analysis prevents you from being struck up with the dead stocks again and helps you know the top selling products and order based on the customer needs and demands.

Sales and Purchase returns

The purchase returns and allowances, purchase discounts, sales, and sales returns have to be made clear so that the inventory account balance remains accurately. Making the sales and purchase returns at the right time prevents inventory losses including theft, spoilage, or other losses.

Control over expiry, damage and wastage

Severe inventory loss might occur due if the expiry, damage and wastage stocks aren't taken care of. Having good visibility over the stocks with frequent stock counting helps in analyzing and preventing the loss. Improper packaging, poor handling during transportation etc might result in the spoilage of stocks. However, proper care, and timely monitoring will help in getting control over the stocks.

Refilling

Stock refilling has to be done dynamically by analyzing the stock levels in the racks and shelves. By understanding the inventory, every item must have a minimum and maximum quantity set in advance, so that it is possible to refill the stocks before the item runs out of stock. On time refilling will help you never miss out a sale and boost the customer satisfaction levels.

Execute Smart purchases

It is highly essential to have stocks in hand stored in your warehouse so that whenever an item reaches the minimum level, they can be refilled immediately in the store. Automatic reordering helps you maintain an optimized inventory so that the purchases can be made at the right quantity and at the right time.

Start and end with Smart purchases

Plan Smart purchases

Analyze the trends with real-time data by doing perpetual inventory audits, and gain insights into every product value. Know the sales trends well, understand the demands and determine reorder points with good knowledge and visibility.

Categorize stocks

Categorize the stocks well as it helps in having a proper product distribution, easy and comfortable stock counting to data-srcentify the stock discrepancies and movement.

Stock audits

Evaluate the stocks properly with regular stock counting, as it helps in eliminating the back order scenarios where one has to order the items due to lack of supply which might disturb the customer satisfaction due to the unavailability of items on hand at the time of sales.

Inventory analysis

Analyze your inventory regularly to understand and bridge the gaps so that the supply can meet the demands. Stock analysis helps you know what and when the replenishment of stocks can be done to avoid interruptions. Inventory analysis can be done better by understanding the FSN (Fast, Slow, Non-Moving) analysis, where you can identify the fast-moving, slow-moving, and non-moving stocks. This analysis helps to get rid of the non-moving inventory and avoid the undesirable inventory carrying costs.

Dead stock clearance

Before restocking you have to analyze and clear the dead stocks so that you do not end up losing the precious space to store these products. When you analyze and clear these unwanted dead stocks you can save more on storage, cost spent on equipment etc. Proper analysis prevents you from being struck up with the dead stocks again and helps you know the top selling products and order based on the customer needs and demands.

Sales and Purchase returns

The purchase returns and allowances, purchase discounts, sales, and sales returns have to be made clear so that the inventory account balance remains accurately. Making the sales and purchase returns at the right time prevents inventory losses including theft, spoilage, or other losses.

Control over expiry, damage and wastage

Severe inventory loss might occur due if the expiry, damage and wastage stocks aren't taken care of. Having good visibility over the stocks with frequent stock counting helps in analyzing and preventing the loss. Improper packaging, poor handling during transportation etc might result in the spoilage of stocks. However, proper care, and timely monitoring will help in getting control over the stocks.

Refilling

Stock refilling has to be done dynamically by analyzing the stock levels in the racks and shelves. By understanding the inventory, every item must have a minimum and maximum quantity set in advance, so that it is possible to refill the stocks before the item runs out of stock. On time refilling will help you never miss out a sale and boost the customer satisfaction levels.

Execute Smart purchases

It is highly essential to have stocks in hand stored in your warehouse so that whenever an item reaches the minimum level, they can be refilled immediately in the store. Automatic reordering helps you maintain an optimized inventory so that the purchases can be made at the right quantity and at the right time.

Methods of Inventory control

It is highly essential to pick the right inventory control solution to stay ahead of complex inventory problems that might occur in your business. There are different methods businesses use to get inventory control like,

Paper and Pen

Spreadsheet

Inventory control solutions

However, it is your responsibility to define your business needs and pick the right method to gain control. You can efficiently and accurately track your stocks only if you select the best inventory control method by understanding the pros and cons.

Paper and Pen

Counting the stocks manually using a paper and pen, is the oldest method which might be economical, but doesn't guarantee accuracy which may lead to several losses to your business. It has numerous touchpoints related to human errors, time, and efforts which affects productivity, accuracy, and real-time tracking and stops you from gaining control over your inventory.

Spreadsheet

Using spreadsheets can be a cost effective way of inventory control, however it is not handy to use. Some major drawbacks of this method include no real time tracking, risk of human mistakes, difficulty in managing inventory from multiple locations, and limited user interface that adds confusion to the users. Hence it becomes difficult to track employee efficiency, stock accuracy and achieve inventory control.

Inventory control solutions

Choosing the best inventory control solution helps you tackle all your complex inventory needs and achieve complete control over your inventory. It helps you meet your company’s needs and contributes to its growth by organizing your business activities. An inventory control software/app, helps you have real time visibility over your stocks, streamline the processes and track the stocks across departments and locations. Automation with digital solutions offers increased productivity, zero errors, and helps you have an optimized inventory with complete control.

Inventory control solution, the best of all the methods!

To be the best in your business and increase customer loyalty it is a must to adopt technology to maximize their productivity, efficiency, and profitability.

Save time by eliminating the manual methods, cut down unwanted costs involved, and automate to meet the customer demands with ease.

With inventory control solutions you can,

Maintain the right stock levels

Make smarter purchase decisions

Mitigate losses with the right inventory control system!

Why to choose Gofrugal Inventory control System?

Gofrugal Inventory control System helps you manage your stock levels efficiently by increasing the transparency over stock movement, minimizing costs and maximizing profits with increased sales. Gofrugal offers an exclusive inventory management mobile and web application GoSure, which helps you gain 100% control over your inventory. GoSure guarantees accuracy in every inventory operation ranging from purchase inwards, stock allocation, stock auditing, stock refilling, and order processing. Gofrugal's stock control software increases the employee efficiency, improves quality and helps your customer coming back to your store with delight.

"GoSure gives me 100% accuracy in stock audit. Employee errors have gone down drastically and I'm able to save a handsome amount of employee cost by daily stock counting while billing."

M F Jainul Abideen
Managing Partner, Kanchi supermarket

"With Gofrugal POS and GoSure app I'm able to monitor the stock auditing across 12 outlets centrally. Now we have complete stock control with increased employee productivity and there is no out of stock as well over stocking"

Senthil Kumar
Manager, Shivling supermarket