In today’s world, you’ll find that there are quite a number of Healthcare Inventory Management systems that you can use for your inventory tasks. Inventory aspects such as shipping, receiving, turnover, tracking, reordering, warehouse storage, and purchasing can seriously weigh down businesses if done manually and if this is not properly addressed. While there is still some debate arguing the differences between inventory control and inventory management, the fact remains that inventory control does all the heavy lifting. Inventory control takes a more holistic approach towards empowering your organization to use leaner practices that will work toward attaining better business’ productivity and efficiency.
Having the right inventory in your storage helps to make your supply chain more efficient. Besides this, you will also have your inventory in all the right locations. Not only this but also meet your customer’s expectations.
Inventory control systems are of two types; periodic inventory systems and perpetual inventory systems. These two systems also comprise two types of inventory management systems; the radio frequency identification systems and the barcode systems. These two inventory systems work to support the entire inventory control processes. Get these processes right, and you’ll be on your way towards efficient management of your inventory. Healthcare Inventory Management systems work to make your overall inventory processes easier and more effective. And that’s precisely what every business needs.
- Periodic inventory system
This particular inventory system doesn’t track your inventory on a daily basis. Instead, this system allows businesses that utilize it to know the beginnings and endings of inventory levels at certain periods. These inventory control system types work to track your inventory at its physical inventory counts. This helps to ensure a perfect balance between your purchase accounts and inventory accounts. Periodic inventory systems also work to adjust and match the cost of your business’ ending inventory as well.
So, as an organization, you can choose to calculate the overall costs of your ending inventory by using either FIFO or LIFO inventory accounting methods. However, you can always use other methods as well that you are more familiar with and are just as effective. Also, as you do this, you need to bear in mind that the beginning inventory of the period you are about to calculate is the previous inventory’s ending inventory. Think of it as a cycle of occurring events for the rest of the time that your business will be operating.
You may also want to note that periodic inventory systems come with a few disadvantages. First off, you realize that the normal business operations nearly become suspended whenever the physical inventory accounts are underway. During this time, there is a high likelihood of fraud and errors occurring whenever you implement this system.
- Perpetual inventory systems
Perpetual inventory systems work to update your inventory records and accounts continually. When this happens, you can account for any additions or subtractions whenever you receive any inventory items. You can also do the same for inventory that is sold from stock, scrapped, or moved from one location to another. Some businesses also prefer to use this system to the other ones because they deliver more up-to-date inventory information. This system is also capable of handling minimal physical inventory counts better than most of the other systems. Perpetual inventory systems also work to track inventory and deliver more accurate results more continually when managed properly.
However, this particular type of inventory only works best when its systems are used in conjunction with other database inventory qualities. Plus, you might also want to update your bin controls in real-time using barcode scanners.
The perpetual inventory system, like other inventory control and management systems, also comes with its own sets of flaws. The first challenge with this system is that you cannot maintain it manually. It requires specialized equipment and software. This eventually also results in higher costs and implementation which cannot be good news for the businesses that run multiple locations or warehouses.
- Radio frequency identification inventory systems
This system uses both the active and passive technology forms to manage inventory movements. On active RFID technology, you’ll have to use fixed readers tag readers in your warehouse. Whatever movement that the system detects is recorded in your business’ inventory management software. Take Healthcare Inventory Management, for example, active systems for this scenario require real-time inventory tracking. It is also excellent in situations where inventory security has been a problem. On passive RFID technology, you will need to use handheld readers for efficiently monitoring your inventory movement. So, when you read a tag, the system records this data.
RFID systems also come with a few challenges as well. For one, this type of system is far more expensive than most of the other systems. This makes it more suitable only for the higher value goods instead. Aside from the expense issue, RFID inventory management systems have also been known to have some interface issues that can affect how the whole system operates. RFID systems also carry a lot more data than most of the other inventory control and management systems.
- Barcode inventory systems
This system uses barcode technology which is more accurate and efficient than most of the other inventory control systems. Barcode scanners update automatically when your employers scan them using a barcode scanner. Another advantage of using this particular system is that you can also use a mobile device as well. There are numerous benefits you can enjoy from using the barcode inventory control system. Some of them include:
- Ease and speed of scanning
- Rapid ROI
- Eliminate manual data entry mistakes
- Update on-hand inventory automatically
- Accurate records of inventory transactions
- Eliminate time-consuming data errors
- Streamline documentation and reporting
Healthcare Inventory Management systems and software are crucial in ensuring efficient and accurate inventory control. You can use any one of the inventory control and management systems mentioned above to make your inventory management easier and more efficient. You will have more accurate inventory control of your business which will help you cut back on cost and increase profits. Everything all businesses wish for.