How Inventory Types Work and How Inventory Management Software Can Help?

Author: Hamza Sheraz

Have you ever experienced an overstock or stock-out situation in your warehouse? Who is responsible for this situation? Is there any way to avoid such a situation in any business?

These are some of the questions that arise in your mind, right? If so, you came to the right place. In this blog, we will try to answer all your inventory-related questions.

First, let’s discuss inventory types and how they work in a business.

  • Raw Material

Materials that turn your inventory into a finished product are known as raw materials. For example, leather to make shoes for your company would fall under this category.

  • Work in Progress

It is the next level after raw material. The process of manufacturing consists of many stages. All the inventory that is under the production process is known as work in progress inventory.

  • Finished Goods

Products completed by processing are called finished goods. Every business stores its finished stock in a separate place.

  • MRO (maintenance, repair, and overhaul)

It is the type of inventory that needs some sort of maintenance or repair. This helps maintain their quality without wastage of any stock.

Businesses categorize their inventory into different levels in order to handle it with ease. Well, stock management is an uphill task.

Business owners have tried many methods to handle stock. Old methods like manual recording or excel sheets are no longer effective. In this fast-paced world, it is important to use new ways to speed up the process.

With the help of technology, you can manage inventory with ease. Yes, you read it correctly. New technologies like inventory management software can make your life easier.

Benefits of Inventory Management Software

Inventory software can give you some amazing results. Some of the basic benefits that you get by using an inventory management system include:

  • Multiple User Facility

Do you want every department of the organization to provide accurate inventory data? If yes, then it is only possible with inventory software. These systems are capable of handling multiple users and can easily transmit essential information.

  • Avoiding stock out and overstock situations

With an inventory system, it is very easy to avoid stock out and overstock situations. Both are harmful to the business. Real-time tracking of inventory helps you check inventory levels and take immediate action to avoid such situations.

  • Reporting

We can evaluate stock performance by the system reporting feature. Inventory management software can generate multiple reports for different time periods.

  • Stock Alerts

It is very difficult to keep an eye on every level of inventory and maintain a smooth flow at all stages. Stock alerts help a business to provide an accurate quantity of the material all the time.

  • Avoid Wastage

Using inventory management software to manage stock helps avoid wastage of material. With this, you can reduce the amount of dead and damaged stock. As result, there will be a decrease in expenses and an increase in the profits of the business.

Recommendation

The above-mentioned features are necessary for the survival of your business. And, all of them can be found in SeeBiz inventory management system.

SeeBiz will help you to control the whole process of sales and purchase. Whether the stock is moving outward or inward, SeeBiz gives you track of inventory at every level.

Whether you are familiar with the inventory or not, this system is very easy to handle and understand. The reason is that it has a friendly user interface.

It can allow access to your selected employees with the purpose of performing their roles accurately.

Track the inventory from order confirmations to packing and delivery. You can even check the status of the inventory anytime anywhere.

Businesses can’t handle too much inventory at various levels. Seebiz inventory system helps to manage raw material, work in progress, finished goods, and MRO. So, what you are waiting for? Sign up for SeeBiz right now and get free access to all of its premium features for three months.