Supply chain operations are dependent on efficient inventory management. Data accuracy is crucial when it comes to ensuring supply, quality, and precision. It is essential for service and warranty management to be able to track serialized components and lot components.
What are Serialization Platforms?
Serialization in inventory tracking identifies an article with a mark or code that recognizes its unique identification. The serial number is usually a combination of numbers, letters and special characters. When ordering the item from the warehouse, the serial Number will be used to identify the exact product you want.
One of the most important aspects of running a successful warehouse is inventory management by putting barcodes on the items. You risk losing inventory, customers, and profit if you don't know what's on hand, what's sold, and what's sent. Inventory management issues might bring your company to its knees. Today, we'll discuss serialized inventory monitoring and how it can help you to improve your inventory management.
Inventory control is an essential point for a company's success. Serialized inventory management is a sophisticated technique for tracking inventories to the smallest detail. This article will define serialized inventory management, explain why it is crucial for inventory management, and demonstrate how to implement it.
What Is Inventory Software Serialization?
Inventory serialization is the process of tracking the stock management using unique serial numbers. Stock management serialization is different from a simple SKU classification as it allows inventory managers to identify not only the product but also follow its history. This practice is helpful in various business models, such as food and beverage, pharmaceuticals, and retail. The list constantly grows as inventory serialization gets more recognition worldwide.
Better visibility and inventory accuracy are essential for every eCommerce platform's retail sphere representative, as the practices allow for reducing inventory carrying costs and maximizing product sales. That's why serialization has become one of the most discussed inventory management methods in ecommerce channels in recent years.
It allows tracking of individual saleable stock units and sub-components in some cases. The inventory system can generate and assign a unique serial number to every item at the point of manufacture. Each identifier is assigned in sequence to the articles. It can be a QR, NFC, or RFID code.
How does it Work?
Serialization of inventory is a procedure that allows you to track individual units of stock using serial numbers. Goods management requires that you keep track of your list.
Regardless of the inventory the company handles, a strong tracking system is essential. Firms with extensive lists must be extremely cautious with their inventory. For inventory management purposes, the serialized inventory management system assists the company in keeping a rigorous track of each product.
An expensive inventory that requires frequent maintenance and servicing, or is covered by a guarantee, must be thoroughly checked and tracked. Serialization in inventory tracking of such products in inventory management aids in tracking each item from start to finish.
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Serialized Purchase and Serialized Businesses Return
Many companies require the ability to track the components of their products from the raw material until the time they are shipped to customers. Arion ERP offers this functionality for both stocked parts. Serialized traceability allows you to track the lot received from manufacturers or vendors. Serialized purchases can be combined with serialized returns. This allows the vendor to return the lot by managing the serial numbers. Arion ERP will enable you to track the lot record history in Arion ERP for historical quality references, even after shipment.
Arion ERP Serialized Inventory Solution Allows
- At the time of purchase, assign serial numbers
- You can issue your serial manually, or Arion ERP will automatically give them. It all depends on your preferences.
- Create a complete history of your activities
- Produce Production Lot Reports in a matter of minutes
- Multiple items received for the same thing or various items in one transaction
- Track serial numbers, including original serials and user-definable serial numbers.
- From the vendor to the customer, traceability is possible for all items.
Arion ERP serialized inventory solution allows you to manage unlimited serial numbers, from purchase to sale. The serial number information is stored in the system, which gives inventory control personnel complete access to product histories, such as date of purchase, vendor details, validation information, and more.
Serial Number Tracking information is beneficial in returning defective items to vendors or verifying that customers have returned the item. The Arion ERP inventory solution, which is easy to use and rich in functionality, is a powerful weapon in your arsenal for accuracy and practicality.
With Arion ERP, serialized inventory can be tracked with serial number tracking
- Assign serial numbers immediately after receipt of the goods
- Automatedly generate serial numbers with ease
- See serial numbers for items sold, transferred, or received.
- You can easily assign serial numbers to the invoice or sell them used during (or after) it.
- You can easily integrate a barcode reader for items with serial numbers barcodes
- Easily select serial numbers during an inventory transaction
- You can either buy or sell serialized products sequentially or randomly.
- Report on serial number activity by date and location or serial number range
- You can quickly trace any serial number within the system
- Serial numbers sold to track specific costs
Arion ERP serialized inventory software features new features and enhanced modules to ensure the best inventory management of serialized items. Arion ERP serialized inventory software is used by industries such as pharmaceuticals, auto parts, IoT devices, and others to improve inventory and supply chain management.
What are the Main Reasons Why Inventory Serialization is So Important?
Let us now concentrate on the significance of serialized inventory management:
- Quality Control: Serialization in inventory tracking aids in maintaining quality in manufacturing and assembly processes. We can use individual item serialization related to the batch to trace each set of the production run. Serialization makes it simple to identify a product and determine the manufacture date or packed date, making it easier for the retailer to handle the quality control process.
- Traceability: Serialization makes it simple to track down a product and determine which production or assembly batch it belongs to and has all relevant information readily available.
- Warranties: If your product comes with a contract, you should invest in inventory management serialization. Serialized objects can be easily traced back to the batch and manufacture date, making warranty and inventory management a breeze.
- Verify Product Ownership: Serialized objects can be distinguished from counterfeits, and we can track product owners easily.
- Product Recall: If a product problem is discovered late in the sales reports cycle, you can identify all goods from that batch and recall and validate them using the serial Number linked with the item.
What is the Best Way to Serialize Inventory?
- To serialize inventory, each item is given a unique number to distinguish it from the rest of your stock. Because this serial Number is unique among things, it can determine the product type and batch to which this item belongs.
- Serialized objects have two identifiers: the SKU, which specifies the item's type, and a unique serial number, which identifies each particular item in the inventory.
While this can be done manually or with an excel sheet, cloud-based inventory management with inventory serialization is a better option.
Read More: Inventory Management Software for Serialized Data Management
What Is The Best Way To Manage Serialized Inventory?
When you receive new goods, note the batch number and, if applicable, the expiration date. The next step is to assign each object a unique serial number. Please ensure the serial Number is written on the product to track it. For this, you can use barcode labels or essential sticker labels.
It would help if you tracked which serial numbers have been removed when shipping out inventory. Keep a record of the serial Number of the item sent out to accomplish this.
Take an inventory count regularly by checking serial numbers and comparing the data to the serial number list in your records. This is required to check for leaks and theft.
Inventory Management has Many Benefits
Inventory management has two significant benefits. It ensures you can fulfill any incoming or open orders, increasing profits. Also, inventory management:
- In Saving Money, Understanding stock trends allows you to see the amount and whereabouts of stock so that you can better use what stock you have. This will enable you to store less stock in each location (store, factory), and you can pull from any site to fulfill orders. All of this reduces inventory costs and decreases supply that isn't sold.
- Increases Cash Flow
- Proper inventory management will allow you to spend less on inventory that doesn't sell and keep cash flowing through your business growth operations.
- Satisfies Customer base
- It is essential to ensure that customers are satisfied and receive what they need quickly.
What are The Advantages of Inventory Management?
Accurate inventory management is essential for a product business profitability growth to succeed. Stock mistakes and other issues can be prevented with regular stock tracking. The following are some advantages of having an effective inventory management system:
- Improved Inventory Accuracy: You can know what is in stock to order the inventory you need to meet your customers' needs.
- Lower Risk of Overselling: Inventory Management helps you track inventory and backorder so that you sell only a few products.
- Savings on Stock: Stock costs a lot until it is sold. Storage management costs, shipping costs, insurance, and salaries are all part of the carrying costs. Stock is also susceptible to theft, loss due to natural disasters, or obsolescence.
- More Insights: With inventory tracking and stock control, you can easily spot sales trends, the track recalls, or track expiry dates.
- Negotiate Better Terms with Suppliers and Vendors: Inventory Management provides insight into which products are selling and how many. This knowledge can be leveraged to negotiate better terms and prices with suppliers.
- More Productivity. Time saved by reasonable inventory management solutions can be used for other activities.
- Higher Profits: Higher inventory turnover results from a better understanding of demand and supply, which also increases earnings.
- A More Organized Warehouse A more efficient warehouse with items organized according to demand. This reduces labor costs, speeds up fulfillment and lowers labor costs.
- A Better Customer Experience: Customer service who receive their orders on time are more loyal.
Management of Inventory Challenges
Inventory management is complex because you need more inventory, are unable to sell it, need more inventory to fulfill orders, and need to know where your inventory items are located. Other obstacles include:
- Getting Accurate Stock Details:
- With accurate stock information, it's possible to know when stock should be replenished or which stores are performing well.
- Poor Processes:
- Work can be slow and error-prone if it needs to be not done correctly or manually.
- Changing Customer Demand:
- Customers' tastes and needs are constantly changing. How will your system track trends if it can't detect changes in customer satisfaction preferences?
- Warehouse Space Well:
- If products are challenging to find, staff can save time. This can be eliminated by mastering inventory management.
Read More: The Major Importance of Inventory Management
What are the Major Functions of an Inventory Management System?
Consider the long-term potential of any new system: A system that touches so many areas of your business activities and takes time and effort to put in must be able to meet your current and future needs. You should only use systems that are limited in functionality and will be obsolete within three to five years.
Here are five steps to help you find the right system for your business functions.
Step 1: Identify the Outcomes You Want
Make sure you consider the goals of your stakeholders and develop a business profile case. Strategic careful planning involves analyzing business trends, core competencies, and external opportunities.
Ask yourself these questions: How does the purchase of the proposed item align with long-term goals, both previously established and newly revised? What insights will it provide that are unavailable today to help us plan our inventory strategy?
Step 2: Identify the Project
What data sources are necessary for ERP inventory management software solutions to combine critical metrics?? What suppliers and partners will have access to the ERP inventory management solution? Make a list of all the capabilities and features required to achieve the desired result.
Step 3: Create an ROI Analysis
Don't just focus on cost-cutting. Instead, consider how the investment will increase your company's profitability, efficiency, and customer loyalty. Technology will allow your business goals to grow by better managing its inventory.
Step 4: Draft a Vendor List
To assist you in choosing the solutions that are most appropriate for your company, review case studies from organizations comparable to yours. Ask the following inquiries to limit your options:
- Are the systems flexible, scalable and easy to integrate?
- Are there any testimonials from other companies in the industry?
- What type of training is required? Is the company able to support training?
- Is there a free or paid trial version that can be used for testing?
- How much does software cost upfront? Or monthly for cloud-based software system applications? How about maintenance?
- How long will it take before we are up and running again?
Step 5: Look Ahead
Examine the product goals of potential system vendors and determine if they align with your business plans.
When deciding whether an ERP inventory management system will work for you, use the checklist below.
ERP Inventory Management: How to Get Up and Run
An implementation roadmap is necessary to properly implement an ERP inventory management software system and reap its full benefits. The roadmap consists of three steps:
- Create the record: Integrate all operations and data into a single ERP system, or connect legacy system data to your ERP for real-time upgrades.
- Lift the record: Layer for other functions such as advanced analytics, purchasing, and payroll. All these duties can be completed in a single record system for optimum performance.
- Expand with advanced ERP features: ERPs offer sophisticated functions such as demand planning, analysis, quality management, and analytics that will allow your company to innovate and adapt to changing market conditions.
ERP systems can handle many functions and areas and, thus, many aspects of a business. The roadmap can help your business plans get from where it is now to where it should be.
An ERP System is Used to Control Inventory
An ERP system automated and optimized for inventory management necessary functions to ensure stock buying, organizing, and transferring all work in sync. It also integrates the inventory requirements of customers, suppliers and staff to maintain optimal stock levels.
Below is an illustration of how these organizations, their systems, and your central database might interact with an ERP. The "brain" that controls powerful inventory operations is the ERP.
Each group of the diagram has different tasks and requires other systems. Suppliers use inventory, financial and prediction applications.
All of these systems must be working together. Each specialized software system must be able to communicate with the ERP system.
Let's say a company uses PLM to manage its inventory levels from conception to production. This will give you a better understanding of how ERP integrates with other systems. PLM and ERP are complementary. ERP is responsible for production resource careful planning. They would work sequentially. Initial product data is retrieved from the PLM. Once a product has reached a point in its development where it requires resources, the ERP integrates production with the rest.
It would help if you had a network of people, systems and processes to manage inventory properly. When growing your business, inventory control requires more than just "one system, done." It is crucial to use a centralized system for inventory management processes.
Implementing an inventory levels control system should begin early. You also want to put together a team of inside experts who can help you.
- Maintain up-to-date inventory items.
- Be realistic about your budget.
- Establish milestone goals.
- Facilitate user training, acceptability testing, and other implementation controls.
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A unique serial number is a key to extending the life of a serialized product. Innovative inventory software is necessary to manage thousands of serialized units. Arion ERP serialized inventory software can solve the data management problem. It is crucial for service and warranty management to be able to track serialized parts and sub-components of a customer.
Arion ERP Serialized Inventory Management Software allows you to create serial numbers and manufacturer lots at every stage of manufacturing. When finished products are shipped, they can be assigned serial numbers. These serial numbers can be used to preserve history and provide traceability to the original customer order.