Inventory or stock refers to the goods and materials that a business holds for the ultimate purpose of resale (or repair). An inventory management system is one which helps an organization to maintain and manage the inventory effectively.
The purpose of the tool is to overlook and oversee the ins and outs from the inventory so to ensure the stock never overflows but at the same time doesn’t dwindle down to a point wherein you cannot address your customer requirements anymore. Ineffective inventory management can seriously affect the revenues generated by a company and hence, high importance is assigned on the same.
Inventory management software is to gain an in-depth, real–time view into key supplier, inventory and procurement indicators. Self–service capabilities for partners, vendors and customers improve collaboration throughout the entire supply chain.
The job of an inventory management software is balancing the various tasks associated with Inventory management, analyzing time for order processing and delivery, calculation of buffer stock as well as calculating taxes for each inventory type, inventory volumes, forecasting feature etc. (884)