If you’ve kept up with the latest reports on the future of inventory management and supply chain management, then you’ve seen figures like these:
• In 2019, the inventory management software market exceeded USD 3 billion. With a CAGR (compound annual growth rate) of over 5%, it is expected to reach USD 5 billion by 2026.
• In 2020, the supply chain management market was valued at USD 18.6 million. With a CAGR of 10.7%, it is expected to reach USD 52.6 million by 2030.
These expected growth spurts are due, in large part, to the pandemic. COVID-19 shocked supply chain systems causing demand to skyrocket in some markets and plummet in others. This sudden change revealed the need for more agile, flexible, and resilient ways to manage supply chains. The old methods were proven obsolete.
But it’s not just changes in demand and consumer buying habits that inventory management has to account for. There is a major supply chain workforce shortage, as well. So how can distributors and their customers adapt and meet these new demands with a labor shortage? In short, automation. But we’ll get to that soon.
What is Inventory?
Inventory is the raw materials, parts, and finished goods that a company sells or uses in its production processes. Sometimes called “stock,” inventory comes in many forms. But no matter its form, if inventory is mismanaged, it impacts the company’s performance and profits. That’s why proper inventory management is vital to a business’ success.
What is Inventory Management, and why is it important?
When inventory is managed well, companies can easily identify what items, how many, and when those items need to be ordered. Accurate inventory management allows a company to track how much of an item is shipped and purchased. The ability to track purchases helps the company see trends and prepare for spikes and dips in demand, so they can order enough to fulfill their orders.
Inventory management is a balancing act. If a company is short on inventory, then customer orders are delayed. But having too much inventory is an issue, as well. If a company has too much, then
1 Valuable warehouse space is wasted
2 Organization becomes more challenging
3 Inventory expires or becomes unsellable
In the old days, inventory management was handled manually. Some businesses still use manual inventory management today, which is incredibly time-consuming and error-prone.
Manual inventory management requires employees to count each of their items—sometimes daily—then update their system, and finally place orders. Then, repeat, repeat, repeat.
Inventory management is essential, but with today’s technology, it shouldn’t be done manually.
How Automated Inventory Management can help
Thanks to Amazon Prime, people expect ultra-fast shipping. When they hit the “Buy Now” button, they expect their purchase on their doorstep the next day. This mentality has permeated B2B shipping, as well.
Whether your clients are retail, pharmaceutical, or industrial manufacturing, they expect a quick, responsive experience. If they aren’t satisfied, they look elsewhere.
Enter automated inventory management. With the widespread availability of technology, companies are investing in automated inventory management software to
1 Cut expenses
2 Decrease waste
3 Maximize efficiency
4 Increase speed
5 Improve accuracy
6 Trace inventory
7 Grow their business
Deciding whether to automate is not a difficult decision. The problem is wading through the companies that offer automated inventory management and choosing the right one.
SecuraStock’s Automated Inventory Management Solutions
SecuraStock offers automated solutions for inventory management and industrial vending. Our products are made in the USA and feature remote requisition and tracking of consumable and durable goods of all shapes and sizes.
Our fully-integrated, proprietary software automates the management of every aspect of material storage and movement throughout your entire facility—inside and out—wherever your inventories reside.
If you want to automate your process, we recommend SecuraTrack to manage all of your inventories. SecuraTrack is our portable automated inventory management system that accommodates unlimited amounts, sizes, and shapes of products.
You can also add SecuraTrack to a vehicle for a totally secure and mobile automated inventory storeroom, which we call SecuraFleet.
Our SecuraScan automates inventory for any area, no matter the size, shape, or amount of products. It can be used alone or added to the SecuraCrib or SecuraPort for additional functionality. SecuraScan is one of the most affordable products on the market to automate your inventory management.
Whether you’re transitioning away from an outdated mode of inventory management or you’re looking to improve your current automated process, SecuraStock has solutions for you.
Interested in learning more about how our products and software can help you reduce inefficiency, waste, and costs? Contact Us to schedule your free Live Demo.