Inventory management is all about managing items that your business holds – stocks. Your stocks are the items you sell. An effective inventory management ensures that those stocks are at the right place and price. Moving items from one warehouse to another is completely different.
Managing inventory transfer and making everything balance is probably the most complex side of inventory management. Human errors can all get in the way and transporting your inventory from A to B is truly challenging. How about transporting stocks from point A to B to C, D and so on? Not easy! But, here is how to, at least, lighten the process.
Inventory Transfer
Inventory or warehouse transfer is easy to manage if you are transporting stocks within two points. The process is straightforward and things can get nearly no mess. Basic steps involve the following:
- Determining the quantity and location of the stocks you want to move out.
- Recording the SKU, quantity and other inventory transfer information.
- Packing the items at the first warehouse and shipping it to the second one.
- Updating the records.
Transferring inventory from one warehouse to another can also be done as a consignment for customer in whom the items are stored in their warehouse. That means there are no alternations to be made unless it has been added.
To manage inventory transfer in multiple warehouses is a bit difficult and inventory managers have to cross many chaotic things. You will need to layout the warehouse, place the barcodes and position the items on the shelves for a more effective process. However, in reality, it involves more than that.
Inventory Balancing
Despite trying your best to finish the inventory in a perfect way, there could be a chance you can experience mispositioning and mismatching of items. Inventory balancing is used to balance mismatched supply and demand as well as excess and shortage of goods.
Excess – Excess happens when the demand is greater than the stock.
Shortage – Shortage happens when demand turns lesser than the safety stock.
Excess and shortage are both not healthy in the business. This is why you need to make them balance. The concept of rebalancing stock position is an upstream requirement for a perfect inventory management. Though it can be an optional process, it is great to consider inventory balancing from time to time.
The Process
The process of inventory transfer and balancing can easily be done by using a system that can:
- Calculate product excess and shortage by minimum and maximum and reorder points
- Round up the potential stock transfer quantities
- Executes cost-benefit analysis
- Offers stock transport requisitions
- Track and maintain stock levels
- Inventory transfer request and fulfillment
Tracking, maintaining and viewing stocks across multiple stores is made possible by WooCoommerce Point of Sale. Most merchants with multiple warehouses often find one store with completely sold out SKU’s while the other has an abundant of it. WooPOS is the only tool you can use to address the issue. It enables powerful inventory management no one can beat!
