Categories : Solutions

Author : Pratima G Date : Nov 24, 2023

Barcodes: Why They Are Important and How They Help In Inventory Management

For many businesses the benefits of barcode scanning has already been witnessed at the inventory level. Barcode scanning enables effective inventory management providing accurate information about employee work hours by tracking production progress to avoiding bottlenecks.

Barcode scanning results in fewer errors when compared to manual data collection methods and is more efficient in terms of time and human resources. Companies implement barcodes to reduce costs related to delays, thefts and errors due to manual data entry.

An affordable barcode inventory system can be applied throughout production and other areas of operation including logistics.

Advanced Material Handling With Barcodes

Inventory management goes beyond the end products that are waiting to be shipped. It is a process that covers everything starting from production to the sale of the goods. Barcode scanning allows companies to understand their stock records better and also the availability of goods in the warehouse. This can prevent delay in product runs due to a specific material exhaustion by alerting the employees to quickly order and/or defer production till the stock is refilled.

Barcode scanning facilitates material tracking with transaction histories that record item information and their locations. This guarantees the accuracy of data entry, information revision, and also eliminates human errors.

The challenges manufacturers encounter in stock control when stock details are inaccurate and processes are manual due to customer preference changes and products being hard to locate can be solved using barcode scanners.

Barcode inventory system for small businesses as well as large businesses helps streamline complicated processes related to managing inventories.

Powerful Software Integration

Barcode and inventory software technologies are being incorporated to automate daily transactions, reduce costs, and minimize human error when it comes to data-collection operations. Barcode technology helps decrease planning and operating uncertainties for businesses but as barcode scanning usually doesn’t work independently, it has to be integrated with Enterprise Resource Planning software (ERP).

Not just any off-the-shelf ERP solution will work for all your business needs. Each business has unique issues, customer demands, market pressures, manufacturing processes and goals to manage. So, an end-to-end ERP solution for both discrete and process manufacturers that includes predictive analytics, collaboration and interaction options is necessary. The solution should help you streamline and automate all your operations.

Benefits Of Using Barcode Technology in Stock Control

One of the main reasons barcodes have become common in different industries is that they help build a standard that identifies the same product or item across the supply chain. When a product is developed, the manufacturer assigns it a Unique Product Code barcode label (UPC) for fast product identification and the manufacturer, consumers, distributors and retailers can access the accurate information using the UPC.

Automation is the major factor that reduces dependency on manual tasks eliminating errors in recording data in real time as the item travels through the supply chain.

Below are the major benefits of using inventory management software with barcode scanner:

1. Increased Accuracy

A barcode inventory system will ensure the accuracy of the stock count and minimize the dependency on manual data entry when it comes to product information at the time of receiving and also reduce the chances of errors.

2. Boost in Efficiency

Manual data entry is time-consuming and error-prone. That’s why, barcode inventory control can help reduce the time spent manually entering product information and rectifying the errors. This results in enhanced efficiency.

3. Real-time Data

When an employee scans a barcode on a product, the stock and sales numbers are updated quickly in the business management system widely known as the ERP or Enterprise Resource Planning solution of the company.

4. Reduced Cost

Barcode technology is cost-effective and the investment in implementing a barcode stock control system is low compared to many other modern technological solutions. With mobile devices becoming more prevalent, businesses can avoid investing in dedicated devices and save cost significantly.

Best Practices for Using Barcodes in Inventory Tracking Systems

Inventory tracking is important for many businesses and certainly more critical to some specific industries, such as retail, other industries can also reap the benefits. Here are some basic considerations you should be aware of if you’re thinking of implementing an inventory tracking system in your business.

Analyze what you want from it: The benefits of having a good inventory tracking system, particularly one with barcodes as the core, is becoming apparent across the retail industry. But what if you’re an IT director at a non-retail organization then there are asset tracking advantages that you can get from it too.

So, sit down with relevant stakeholders to figure out what features would be important for your business and then figure out how to apply its features into your business.

Ensure that the vendors you are relying on can specifically address your needs and issues. Also, you have to determine if you need integration into an existing or new system as well.

1. Try before you buy:

Test your software and barcode labels before you deploy your entire barcoding system to avoid making the mistake of just starting to use them directly. You might discover that the labels you’ve chosen aren’t resilient enough or the hardware you chose isn’t efficient in scanning correctly the first time and so on. You might also discover that you want more data from your barcode or use different barcode types for differing products from a software point of view. Good sophisticated barcode software’s will offer dozens of ways to improve barcode recognition with absolute accuracy.

2. Build a Back-Up for your Inventory Tracking System:

A proper backup plan should be in place which isn’t just for the data. You should consider having a proper backup inventory tracking system, from a good cloud computing solution that offers a variety of options for backups, be it a total cloud approach or even a hybrid local and cloud approach.

Looking for the best inventory management software for your business? Get in touch with us now to get the best barcode software with outstanding features as well as technical assistance at every step of your development for a smooth deployment experience.