An e-commerce business is dependent on product inventory. The company providing online services to customers will have to keep a stock of all their products to ensure on time delivery. No matter how small or how big your business is, keeping an inventory of your stock will ensure that your customers are better served. To manage this inventory, a business owner would definitely require an operations team to keep track of the SKUs and update them individually from time to time. In addition, the team would also have to keep a track of all the orders received, shipping details of these orders, and everything else related to the shopping of the products done by the customer. This can lead to higher inventory costs, which a business would not want for them.
E-commerce business is not a cakewalk. An entrepreneur needs to have the right solution to make his inventory management a cost effective one. If something goes wrong while shipping or delivering products, the company will lose on returning customers. Once a company loses control over the monumental link in the customer lifecycle chain, there is no easy way to bring that customer back. In order to generate revenue and make a successful identity in the industry, the entrepreneur needs to ensure that they must become an expert in fulfillment.
How to Manage Inventory & Make Successful Fulfillments
The best way to keep a track of the products in the inventory, check the stock, update SKUs, keep a track of the shipping, and do several things while saving some money is by using barcode. By implementing barcodes, a company can make inventory management much easy. Barcodes and barcode scanners reduce any manual or paper based data entry of products and the shipping process. This reduces errors and discrepancies when packing, labeling or picking products from vendors. Any e-commerce company should invest in a barcode scanner and barcodes.
Reasons to Implement Barcodes
Implementing barcodes can prove beneficial for the e-commerce company in several ways. Here are few important reasons as to why you should implement barcodes to your e-commerce business and its inventory management.
Manually keying an SKU number several times a day is not an easy task. It is not only time consuming but also costs you more labor. Many people think that an Excel sheet is an easy way to go, but it actually isn’t the right way to keep track of large data and a large inventory in the e-commerce business. Things become simple and easy when all your inventory items have a unique barcode label. A barcode will give all the details of the product and its associated data. One simple scan of the barcode will reveal all the data, save manual labor, time consumption and make things simple. Inventory can be viewed and updated on a real time basis with a barcode.
Cost Effective for Company
Barcodes are perfect for different industries. They offer product identification, fast recognition, and proper implementation of data. Although the application complexity varies, a barcode only costs very little per label. Moreover, using barcodes can lower down the overhead cost spent on training labor and improving their productivity. The system also lowers down the costs of capital for carrying any excess inventory, as it is always updated with the latest stock input details. When you keep your inventory updated and organized, you significantly affect your taxes. With the knowledge of the exact amount in the inventory, you can deduct the inventory cost from your taxable income.
Whether you handwrite your SKUs or manually key number, the entire procedure can be a painful one. Barcoding is like a breeze! According to researchers, for every one thousand keystrokes made, a person makes 10 errors on an average. However, when a barcode scanner is used, only one error is made in a thousand scans. Any errors while writing or updating SKUs can lead to shipping delays or items being misplaced. In addition, data mistakes may result in spending too much money on buying items that you don’t need.
Every business wants to keep their stocks safe and their customers safe too. Barcode technology prevents any mix-ups or mistakes, which an inconvenience to the end-user and harmful for industries like pharmaceutical or healthcare. Barcodes are traceable and completely auditable, prompting theft deterrence and delivering peace of mind, hence, reducing any demonstrable reduction in liability or loss.
Barcodes Assist in Inventory Tracking
When the inventory at your warehouse is unorganized, your employees will spend too much time keying in about all the items in the inventory list, as well as searching for them in the warehouse to ship. With so many online orders and so little time, all these tasks can hamper your shipping. Less time spend on searching means more time fulfilling orders correctly. Barcodes make things easy because your inventory is better managed, tracked and identified, without spending manual labor on doing all of it.
Implementing Barcodes For Electrical Best Buy
Electrical Best Buy is the transition company of Mohan Group that started its operation as an one-man organization since 1967. The company is known to be one of the largest distributors of electrical products in India. Mohan group chose Rasbor as its transition partner. They wanted a complete digital transformation for their site, so Rasbor began the process from scratch. Among several things that we did for Electrical Best Buy, Barcode Integration was another successful endeavor to make the website user-friendly and helpful for both client and customer.
When we integrated barcode system, we ensured that process is easy for the supplier and the buyer. According to our implementation, the supplier prints the barcode packaging slip containing order information and then pastes it on the product after accepting purchase orders. The pickup team then updates the shipping status for associated purchase order with just one scan and the press of a button. The update would then immediately reflect on the admin panel. The entire procedure ensured product transition to be always under the radar. The functionality also improved business performance and inventory management system for Electrical Best Buy.
Poor inventory management can account to high percentage of business failure. Adopting barcodes for inventory management will aid your company to function efficiently and make profits in the long run. When implementing barcodes, ensure that they are updated and linked to your online store to get real time updates for day-to-day inventory management. The best way to do this is by hiring a digital transformation partner with experience to make the process simple yet successful. If you are looking for a digital transformation partner, visit us today!