Inventory must be one of the most essential and complicated problems that every Magento retailer has to deal with. Inventory management is the process of tracking eCommerce, which requires a collection of techniques and strategies for storing, tracking, ordering inventory or stock and delivery. During this process, there might be loads of Magento inventory tracking problems arising.
In this article, we are going to go further on those problems in order to assist Magento retailers in dealing with them.
Common Magento inventory tracking problems
Overstock, understock, and deadstock
It can be challenging to strike the right balance between overstocking and understocking products in your inventory. To be more detailed, overstock is reported when retailers keep more goods than the real quantity that can sell in a reasonable amount of time. If retailers are reported to face understock, they might not be able to receive more orders to fulfil their stock demand. Finally, deadstock refers to items that can’t be sold for several reasons.
Businesses can avoid these problems by implementing an inventory management plan that provides a thorough understanding of sales patterns and how demand for various products varies seasonally.
Manual record data
In an attempt to manually control inventory, some companies use spreadsheets. This method will work if you have a limited stock, but it is not realistic at large scale. If you are trying to handle more than a few hundred things manually, you’ll find it difficult.
Human error is also a concern of manual inventory control. Employees who enter an SKU incorrectly or count the number of items in stock incorrectly will cause an inventory management system to miscount things.
Inventory management systems that are automated can help companies prevent these pitfalls. It reduces data entry errors and miscounts by scanning objects automatically as they pass through the inventory.
Challenges with the supply chain
Supply chain management always plays a crucial role in maximizing the value of retail businesses. Although businesses typically have little control over their supply chains, they must do everything possible to ensure that delays do not prevent them from fulfilling orders. Unreliable suppliers deliver goods late or supply the incorrect items put you at risk of running out of inventory.
Automate your process by adopting POS system
Technological developments in recent years have produced huge impacts on retail businesses. The POS system is one of those out-of-box technological solutions that support businesses deal with these Magento inventory tracking problems. The advantage of the POS is that it can work as a very powerful inventory management tool, which can help you keep track of your stock levels during the entire sales process.
ConnectPOS is one of the leading cloud-based POS systems, which allows businesses to access real-time synchronized inventory. This means that the data between your online and physical store is constantly updated and monitored in real-time. As a result, retailers can timely identify possible issues and make adjustments to improve the inventory management process.
The above-mentioned Magento inventory tracking problems are reported to commonly arise in the retail industry, which bears a burden on store owners. Hence, it is highly recommended that retailers consider integrating POS systems into commerce in order to effectively keep track and develop the business in the current competitive market.