Why Every Small Business Should Have Inventory Management Software
Mar 8 2012

Following is a guest post by a writer for Ordoro, a company I used to work with while I was at the Austin Technology Incubator.  When she reached out to me to see if I would accept a guest post, I chuckled and thought what a small world it was.  I like the team at Ordoro.  They are doing great things and making a difference for small businesses.

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Carolyn is a guest post writer on the subjects of small business management, small business tools, and inventory control. She believes that the right software is an essential part of what it takes for startups to succeed.

Why Every Small Business Should Have Inventory Management Software

Inventory will hog all of your company’s cash if you allow it to do so. Think about it. You pay your suppliers, and you wait for them to ship goods to you. Then you wait for your employees to turn those goods into finished products you can sell. Once the products are ready to sell, you have to wait for customers to buy them. As you may have noticed, turning inventory into cash involves a lot of waiting. That’s why it’s essential that you do everything you can to increase your inventory turnover rate as much as possible. When it comes to inventory control, one of the most effective tools a small business owner can take advantage of is inventory management software. Here’s what inventory management software can do for your small business:

  • Inventory control software helps you identify what you need to order from suppliers at any given time. This kind of software gives you a clear picture of your inventory levels. If your bestselling product is almost sold out, it’s probably crucial that you order more of it as soon as possible. If you aren’t using software that allows you to monitor your inventory levels easily, it’s much more difficult to order what you need when you need it.
  • Small business inventory software helps you identify slow-moving products. If you analyze the data provided by inventory management software, it will be more simple and efficient for you to identify products that are slow-moving. Once you know what isn’t selling, you can order less of it from your suppliers and ultimately have more cash freed up to purchase other inventory that is selling well.
  • Tracking inventory shipments from multiple suppliers can be difficult, and inventory management software can help. It’s crucial that you know when inventory is going to arrive, so you can plan your sales efforts accordingly. Inventory management software is probably the best tool to use if you want to track your orders and shipments from different suppliers.
  • If you’re an e-commerce merchant, inventory management software like the software offered by Ordoro will help you keep track of your inventory across multiple webstores. It’s no small feat to keep track of what’s being sold where and what’s in stock overall as a result. That’s why it’s generally a good idea for e-commerce merchants to enlist the help of some quality software, especially if they’re trying to run a small business without much help from anyone else.

Inventory management software is hardly ever expensive, especially when you consider the ROI. With this type of software, you’ll be able to increase your inventory turnover rate by ordering what you need, halting orders of what you don’t need, getting the most out of your relationships with suppliers, and staying organized no matter how many stores or webstores you own. So, why make things harder on yourself without this integral software tool?

 

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