Inventory management is the process of overseeing and controlling the ordering, storage, and use of a company’s inventory. A company that manages its inventory well can be highly successful in satisfying its customers’ needs, while improving its profitability and brand value in the market. However, efficient inventory management is no mean task and needs meticulous planning, trained resources and above all the commitment to meet the market demands.

Manual inventory management processes are often cumbersome, time-consuming, and inefficient. Automating these processes is the optimal solution for achieving organizational goals. Consequently, inventory scanning is becoming increasingly popular, with many organizations adopting this strategy to ensure their inventory is safe, accurate, and meets consumer requirements. This blog explores inventory scanning in detail, covering its methods, tools, benefits and challenges associated with its implementation. Lastly, it throws light on why a mobile barcode scanning solution is the right choice over a conventional inventory management system for optimizing your inventory operations.

Overview

What is Inventory Scanning?

Inventory scanning refers to the process of using scanning technology to track, manage, and update inventory records. Any type of inventory can be tracked – whether it is food, apparel, books, industrial spare parts, components or machinery that consumers, retailers or wholesalers might buy. This technology typically involves barcodes or RFID tags that are attached to products or storage locations. When scanned, these tags provide real-time data on the product’s status, location, and quantity. This method significantly enhances the accuracy and efficiency of inventory management processes.

Which Industries Mostly Use Inventory Scanning for Inventory Management?

Inventory scanning is widely used across various industries due to its versatility and effectiveness in improving inventory management. Some of the primary industries include:

Retail: Ensures accurate stock levels, reduces shrinkage, and improves customer satisfaction by ensuring product availability.
Manufacturing: Tracks raw materials, work-in-progress, and finished goods, optimizing production schedules and reducing downtime.
Healthcare: Manages medical supplies, pharmaceuticals, and equipment, ensuring compliance with regulatory standards and minimizing wastage.
Logistics and Warehousing: Facilitates efficient storage, retrieval, and shipment of goods, enhancing supply chain visibility and reducing errors.
Food and Beverage: Tracks perishable goods, ensuring freshness and compliance with health regulations.

What is Inventory Barcoding?

Inventory barcoding involves the use of barcodes to identify and track items within an inventory system. A barcode is a visual representation of data that can be scanned and interpreted by a barcode reader. Each barcode typically contains a unique identifier for a product, which can be linked to detailed information in an inventory management system.

Barcoding simplifies the process of recording and retrieving product information, significantly reducing the chances of human error. It also facilitates quick and accurate data entry, making it easier to manage large volumes of inventory.

Is There a Difference Between Inventory Scanning and Inventory Barcoding?

While inventory scanning and inventory barcoding are closely related, they are not the same. Inventory barcoding refers specifically to the use of barcodes to label products, whereas inventory scanning encompasses the broader process of using scanning technology to manage inventory. This can include barcodes, RFID tags, and other scanning methods.

In essence, barcoding is a subset of inventory scanning. Scanning can be done using various technologies, with barcoding being one of the most common and widely used methods.

How Do You Count Inventory with a Scanner?

Counting inventory with a scanner typically involves the following steps:

Preparation: Ensure all items are properly labeled with barcodes or RFID tags. Organize the storage area for easy access.
Scanning: Use a barcode scanner or mobile device to scan each item’s barcode. The scanner reads the barcode and transmits the data to the inventory management system, typically an ERP application like SAP or Oracle.
Data Entry: The scanned data is automatically recorded in the inventory system, updating the stock levels in real time.
Verification: Cross-check the scanned data with physical counts to ensure accuracy. Resolve any discrepancies found during this process.
Updating Records: Once verified, the inventory records are updated, providing an accurate and current view of stock levels.

From the above discussion, it is evident that the process of counting inventory using an inventory scanning system is quite efficient and ensures 100% accuracy over the conventional manual counting process. Many organizations are switching to automated scanning systems integrated with their ERP systems to ensure accurate data flow, up-to-date records, and regulatory compliance. In the subsequent section, let’s delve into the key benefits that an organization can enjoy by adopting an inventory control system.

What Are the Benefits of an Inventory Control System?

Implementing an inventory control system offers numerous benefits:

Accuracy: Reduces human errors and ensures precise tracking of inventory levels.
Efficiency: Speeds up the inventory counting process and reduces manual labor.
Real-Time Data: Provides up-to-date information on stock levels, enabling better decision-making.
Cost Savings: Minimizes overstocking and stockouts, reducing storage costs and lost sales.
Improved Customer Satisfaction: Ensures products are available when needed, enhancing the customer experience.
Regulatory Compliance: Helps maintain records required for regulatory purposes, particularly in industries like healthcare and food and beverage.

While an organization can gain considerably by adopting an automated inventory system, the system is also plagued by few challenges that need to be addressed.

Challenges of an Inventory Control System

Initial Cost: The upfront investment for hardware, software, and training can be significant.
Complexity: Integrating the system with existing processes and technologies can be complex and time-consuming.
Training: Employees need to be trained to use the new system effectively, which can disrupt daily operations.
Data Integrity: Ensuring the accuracy of the initial data input is crucial. Inaccurate data can lead to ongoing issues.
Maintenance: Regular maintenance and updates are required to keep the system running smoothly.

To address these challenges and optimize inventory efficiency, a mobile inventory barcoding solution is the right choice. The subsequent section leads us to an interesting discussion about why a mobile barcoding solution is the cheapest and best alternative over a conventional inventory control system.

Mobile Inventory Barcoding Solution in Effective Inventory Management

A mobile inventory barcoding solution plays a pivotal role in modern inventory management by providing flexibility and enhancing operational efficiency. This solution typically involves a mobile device equipped with barcode scanning capabilities, enabling employees to manage inventory from anywhere within the facility.

Key advantages of a mobile inventory barcoding solution include:

Portability: Employees can carry mobile devices, allowing them to scan items without being tethered to a specific location.
Real-Time Updates: Data is transmitted instantly to the centralized ERP inventory system, ensuring accurate and up-to-date information.
Ease of Use: User-friendly interfaces make it easy for employees to learn and use the system, reducing training time.
Enhanced Productivity: Using this solution, an organization can streamline the inventory process, allowing for faster counting and reducing downtime.
Scalability: A mobile inventory management solution can easily scale with the business, accommodating increased inventory volumes and additional locations.

From the above discussion, it is evident that you need a solution that is affordable, user-friendly, and meets all the aforementioned benefits. In this context, explore Propel Apps’ mobile inventory management solution that ticks all the above listed benefits, while offering the best value for your investment. What’s more? The solution works offline, features an intuitive, user-friendly interface, is easily customizable, and ensures your data is always secure. To know more about our solution and how it can make a difference in the way you manage the maintain your inventory, feel free to schedule a call with us for a free demo.

Final Thoughts

Inventory scanning and barcoding are indispensable tools for effective inventory management. By understanding the methods, tools, and best practices associated with these technologies, businesses can optimize their inventory processes, reduce costs, and improve overall efficiency. While challenges exist, the benefits of a well-implemented inventory control system, specifically a mobile inventory management solution far outweigh the difficulties, making it a valuable investment for any industry reliant on accurate inventory management.