How Do You Implement Inventory Management Systems?
An inventory management system can help sales and production managers control costs by identifying lost sales due to inventory shortages; inventory overruns on products that are not selling; losses due to obsolescence; and losses due to employee theft or damage. An inventory management system makes accounting for inventory on the accounting books and annual tax returns a simple process by providing detailed reports with current inventory valuation information. Implementing an inventory management system can take a large amount of time, depending on the size and diversity your inventory. Identify every product in your inventory and the most recent price paid for the product so that the inventory management system can perform inventory valuation calculations. Select a time for implementation when you can cease business long enough to perform a complete audit on inventory and get the entire inventory management system implemented. Depending on the size and scope of your inventory, you may
