March 22nd 2023 11:00:00 AM
Reduce Your Inventory Shrinkage Costs With Inventory Control Software
November 5th 2019 16:00:00 PM
As your business grows and you have more inventory coming in and going out of your warehouse, it becomes more likely that some items will become lost or damaged. Inventory shrinkage happens to companies of all sizes and takes a bite out of your profit margin. There are steps you can take to reduce the occurrence of this type of threat, and inventory control software is an important part of that solution.
Is taking action on inventory shrinkage with inventory control software an immediate priority for your business? Contact us online or call (330) 645-9959 to schedule an appointment with a Scanco Solutions Expert now.
What is Inventory Shrinkage?
When we discuss inventory shrinkage in the warehouse, it means more than just items that are lost, misplaced, damaged, or stolen. Shrinkage can also be the result of human error in counting, tracking, or managing the inventory.
How to Reduce your Inventory Shrinkage
If your inventory represents cash for your business, then you’ll want to take precautions to protect it from threats. These threats include the threat of theft, either from someone inside your organization or an unauthorized person entering the premises. Below are some suggestions to lower the inventory shrinkage rate in your business.
- Issue Scannable Credential Badges to Team Members
If all employees are wearing or carrying a credential badge when they’re on the job, it’s easier to keep track of who is coming and going in the warehouse. Visitors can be stopped and asked whether they need help. Taking this step will discourage trespassers from entering the warehouse and attempting to steal inventory during busy times.
- Change Your Floor Plan to Protect Expensive Inventory
When stocking items that are high in value, move them to a separate area that can be sealed off. Limit access to this area to certain employees only. Controlling access will help you reduce inventory shrinkage and allow you to track the source of a discrepancy if an issue is discovered later.
- Do a Visual Check of Your Inventory
Inventory control software is an excellent tool for tracking items being delivered and the number and types of orders being filled from the warehouse. Some people can read the data from a computer platform and interpret all the information they need about whether they need to order more stock or if they can hold off for the time being. Others need to do a visual walk-through and check the inventory before placing orders.
No matter which description fits you best, visually checking the inventory regularly is a good idea. You want to look for obvious discrepancies between the numbers being reported and what you’re seeing on shelves and in bins that could indicate inventory shrinkage.
Warehouse 100 From Scanco: Your Inventory Control Software Solution
Warehouse 100 from Scanco gives you the powerful solution you need with the convenience you want when looking for ways to improve the way you manage your inventory. With its smooth integration into Sage 100, it runs on Android and iOS devices.
This app is easy to use and your team can be trained to work with it within minutes. You don’t have to plan for lengthy down times for training and a learning curve when introducing Warehouse 100 to your employees.
Once this inventory control software is in place, your warehouse transactions, such as item inquiries, physical counts (by item or by bin), order picking, inventory transfers, and more, will be tracked in real time. Employees tasked with picking orders will have the ease and convenience of the voice technology, which calls out the specific location, description and quantity of each item.
To find out more about how Scanco’s Solutions Experts can recommend the right options for your business, contact us online or call (330) 645-9959 to arrange an appointment for your consultation.