Are you contemplating whether to purchase an Inventory Management Software or not? Let us analyze the pros and cons of an automated system and paper system to help you make an informed decision.
In Terms of Cost
One thing that is stopping small-time business owners from implementing an automated inventory management system is the cost. Depending on the features included, you may need quite a huge amount of money for an Inventory Management Software.
Manual processing on the other hand does not involve huge expenses. You just need a pen and paper to record data and transfer them in a spreadsheet for record-keeping.
However, if you think about long term savings, you can save money with an automated system. With manual processing, there is always the risk of human errors when collecting and transferring data. These errors can cost your company a lot of money. With an automated system, you can easily keep track of inventory and expenditure. You can avoid incurring huge losses by not over-purchasing stocks.
In Terms of Ease of Use
Many people do not want change. It may be difficult to implement an automated system when your personnel have become accustomed to manual processing. Your employees might insist that they are already comfortable with the current system and taking them out of the comfort zone may only lead to complaints.
However, once you make them see how easy and efficient an automated system is, they will gladly welcome the change. It will greatly improve productivity and workers will see an improvement in their working environment.
It is up to you whether to implement an automated inventory system or not. However, with the many benefits of an automated system, it will be better for your company to have one that to use a manual processing system.
Traker Systems is author of this article on Inventory Control Software.