A list of key inventory management software features to help make software selection easier for your small business.
Inventory management software is used by distributors, wholesalers, manufacturers, and retailers across industries to monitor stock levels, track inventory movement, and optimize warehouse operations. But every business has unique inventory needs, so the same set of software features might not cut it for all. Inventory managers, therefore, should know which software features best serve the needs of their business.
This article highlights five crucial inventory management software features based on the ratings given by verified software users. We also include the highest-rated inventory management software solutions for each feature. Read more.
1. Inventory control
Inventory control, also called stock control, allows your business to manage and track inventory levels in real time and automate reordering if stocks are running low. This inventory management feature also includes analyzing sales data to forecast future demand for products, helping you set up reordering and replenishing processes for outgoing stock.
What business problem does inventory control solve?
Without proper inventory control, your business might struggle with inefficient inventory and supply chain processes, which could lead to errors such as overstocking or spoilage (if you deal with perishable goods). The inventory control feature helps prevent overstocking by analyzing sales data and accurately forecasting customer demand.
Ideal users of the inventory control feature
The inventory control feature is most beneficial if you work in retail, restaurants, or any other business that needs up-to-date inventory data for daily operations. You'll have access to real-time inventory levels and can plan replenishment to avoid any instances of stockout.
Top 3 products with the highest ratings for inventory control
To present the most up-to-date information, the product information below shows the latest real-time ratings, which may differ from the ratings values at the time this report's analysis was conducted, since new reviews may have been left in the meantime.
2. Product identification
Product identification in an inventory management system is a type of labeling functionality that lets you assign a unique identifier to each product to improve batch or lot traceability. These unique product identifiers include information labels such as the product name, stock keeping unit (SKU) number, universal product code (UPC), and serial code to identify one product or lot from another. These identifiers help group your inventory items into different categories and identify them through barcode scanning.
What business problem does product identification solve?
The product identification feature offers a means to identify where a specific product or batch of products is at the warehouse or within the larger supply chain—whether it’s in transit, out for delivery, etc. This makes it easier to enforce corrective measures in case a product or batch is to be withdrawn or recalled. Additionally, it helps reduce errors such as product duplication in the inventory system.
Ideal users of the product identification feature
If your business deals with high volumes of multiple products and struggles to keep track of them, the product identification feature could come in handy. It’ll let you assign unique identifiers to each product or product type so you can segment and track inventory items more efficiently.
Top 3 products with the highest ratings for product identification
To present the most up-to-date information, the product information below shows the latest real-time ratings, which may differ from the ratings values at the time this report's analysis was conducted, since new reviews may have been left in the meantime.
3. Order management
The order management feature of an inventory system allows you to create order requests from different sales channels, such as online stores, marketplaces, and retail purchases. It also helps manage the picking, packaging, and shipping of orders—ensuring products are delivered to customers accurately and on time.
What business problem does order management solve?
The order management feature helps eliminate manual order processing and allows you to automate your entire order processing workflow—from accepting customer orders and checking available inventory to sorting, packaging, and shipping. Additionally, it helps improve customer experience by providing real-time shipping updates with accurate delivery estimates.
Ideal users of the order management feature
If you’re an eCommerce business owner or store manager handling multiple orders, you can benefit the most from the order management feature. This feature can also be beneficial if your business uses manual pen-and-paper methods to process orders. It’ll help you process bulk orders faster and more efficiently, minimize processing errors, and keep an accurate count of the products shipped against each sales order.
Top 3 products with the highest ratings for order management
To present the most up-to-date information, the product information below shows the latest real-time ratings, which may differ from the ratings values at the time this report's analysis was conducted, since new reviews may have been left in the meantime.
4. Inventory optimization
Inventory optimization helps your business maintain optimum stock levels in multiple warehouses across locations. It collects historical inventory data and analyzes patterns and trends in demand or sales to help determine the minimum safety stock level you should maintain to not just avoid stockouts but also reduce operational costs.
What business problem does inventory optimization solve?
By helping determine an optimum inventory level for each product you sell, this feature allows your business to reduce the amount of investment tied up in unsold, excess, or spoiled inventory. It helps identify and prevent instances of excess inventory that are not only resulting in wastage but also costing you in terms of storage.
Ideal users of the inventory optimization feature
If you own or manage a retail business selling a large number of products, the inventory optimization feature could be beneficial. It'll help ensure you maintain the right stock level to meet customer demand across outlets or stores while minimizing the cost of holding excess inventory.
Top 3 products with the highest ratings for inventory optimization
To present the most up-to-date information, the product information below shows the latest real-time ratings, which may differ from the ratings values at the time this report's analysis was conducted, since new reviews may have been left in the meantime.
5. Reporting/analytics
Reporting and analytics functionality allows your business to collect, analyze, and visualize data related to inventory levels, stock movements, and overall sales trends, among others. It also helps generate reports on inventory metrics such as inventory turnover, stockouts, and inventory carrying costs.
What business problem does reporting/analytics solve?
The reporting and analytics feature offers your business much-needed visibility into the performance of your inventory management processes. For instance, you can identify slow-moving inventory items and come up with tactics such as discounts or product bundles to clear them off the shelf. You can also track metrics such as lead time and order accuracy to evaluate your supplier’s performance.
Ideal users of the reporting/analytics feature
The reporting and analytics feature is ideal for any inventory manager or business owner looking to gain more insights into their inventory operations to make inventory planning more efficient.
Top 3 products with the highest ratings for reporting/analytics
To present the most up-to-date information, the product information below shows the latest real-time ratings, which may differ from the ratings values at the time this report's analysis was conducted, since new reviews may have been left in the meantime.
