What Is Inventory Management?
Any business that sells physical goods must be familiar with inventory management. It is the process of ordering, storing, and tracking a business’ inventory. Inventory management governs the flow of raw materials, components, and finished goods – from stock purchasing to sale – and makes sure all the stocks are used effectively and efficiently. Inventory management makes or breaks a business’ cash flow. For instance, businesses that deal with perishable goods must keep track of their expiry date all the time to avoid spoilage costs and endangering consumers’ well-being. Without proper inventory management, it will be hard to sell off the stocks before it expires and becomes unsellable. As for managing non-perishable items, inventory management allows business owners to make sound decisions regarding storage, restock time, and stock control. Not only that, but inventory management also plays a significant role in keeping consumers happy and growing a company. By delivering orders...