Sales inventory systems are often standardised i.e. A business will adopt a general model for their own use. This means that they are able to track sales of a product and match it against their existing inventory to regulate how much stock they keep to hand and how much it costs them to do so. Obviously this is necessary for any business in order to run efficiently. However, adopting a general model means that it may not be optimised for the particular stock/business in question. For example, if you run a food business then whether or not the food is perishable will effect how often your re-stock your inventory and how cost effective it is to keep large amounts of food in stock. A sales inventory system quickly becomes very limited if the type of stock being sold isn't taken into due consideration.
The scope of sales is connected to the nature of sales. This is the way in which the management team go around ensuring that as many sales as possible are to be made and that there is to be a profit within the company to ensure that they are to be successful.
the scope of an inventory system considers which needs the inventory system addresses. These include valuing the inventory, measuring the change in inventory and planning for future inventory levels. The value of the inventory at the end of each period provides a basis for financial reporting on the balance sheet. Measuring the change in inventory allows the company to determine the cost of inventory sold during the period. The inventory level and changes allow the company to plan for future inventory needs
The limitations of sales are different for many companies, however, there are going to be different legal aspects that all sales teams have to ensure that they abide by and do not have any trouble with. This is to ensure that the company is to be as successful as possible and that they are not to encounter any problems.
* Inventory system
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