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Accurately managing the inventory in a warehouse can make or break the success of a business. Some of the best tips for warehouse inventory management involve establishing a system for physically counting the merchandise, setting a schedule for recounting and establishing an inventory management software program that allows staff to easily account for the incoming and outgoing of the merchandise or products. Following some of these top tips, ensures that a company's warehouse inventory management is as accurate as possible.
The first step in setting up an accurate warehouse inventory management is to have one or more employees physically count the products or merchandise. Physical counts should take place at least two to three times per year. For example, a physical count of the merchandise or products should occur when it arrives in the warehouse. A second physical counting may take place mid-year, such as during the June or July summer months of the year.
Proper warehouse inventory management also requires reconciliation of inventory records. This entails a physical recounting of the products or merchandise. Printing out inventory records can show what the inventory management system says is on hand. This list can be reconciled with the physical count of the number of items that are actually in stock. Updates to the inventory management system can then be made to reflect in the inventory records.
One of the best ways to manage inventory in a warehouse is to find the right balance between a computer inventory system and human inventory management. An inventory computer system helps to automate the inventory process because it records the incoming of merchandise, the outgoing of merchandise from processing customer invoices or shipments and tracks the number of each item that should still be on the warehouse shelves. The human aspect of the system is a checks and balance system that ensures the accuracy of the tracking and managing of the inventory.
The automated inventory system can also alert a business owner or employee in the company when it is time to reorder specific items. This helps to ensure that there is never too much or too little of the merchandise on hand. Overall, effective inventory management helps to ensure high customer service quality because the products are on hand when orders come in. Incorporating these top tips into a warehouse inventory management system helps keep the business running as efficient as possible.