Inventory Control is the supervision of supply, storage and accessibility of items in order to ensure an adequate supply without excessive oversupply. It can also be referred as internal control - an accounting procedure or system designed to promote efficiency or assure the implementation of a policy or safeguard assets or avoid fraud and error etc. Types of Inventory Control
Types of inventory control include the following:
* Some businesses control inventory by manually monitoring stock and ordering additional inventory when necessary. This may be done by visually observing when the stock of a particular item is low. Tools such as spreadsheets may make manual control easier. Manual control of inventory does not have a built-in alarm for when inventory is running low, which is the most significant shortfall of manually controlling inventory. A lack of inventory when it is needed most could result in missed sales and lost customers. Barcodes
* Another type of inventory control is the use of barcode technology, which is most often used by larger businesses that do not have the time or ability to physically monitor their inventory on a regular basis. The use of barcodes involves scanning a printed label as inventory moves along the supply chain to customers. This information is stored electronically and can be examined by a person or computer, allowing inventory to be managed efficiently. Using barcodes to control inventory could be expensive for some businesses because they have to purchase the related scanners, labels and software to take full advantage of this type of inventory control.
Radio Frequency Identification
* Radio-frequency identification is most often used by larger businesses. RFID uses microchips to control the flow of products and ensure property inventory levels are maintained. These microchips can be scanned at any point, and the information associated with inventory, such as time or location,...