Introduction
While there is no doubt that COVID-19 has impacted businesses all over the country, it has severely impacted SMEs. According to the Financial Express, more than 82% of Indian businesses have had a negative COVID impact. The SMEs have seen their revenues fall due to the shortfall in demand, their workforce disrupted, and their supply chains hampered. However, with an intelligent, modern solution like SAP Business One, businesses can reduce the fallout, especially in the management of inventory.
Inventory management is a crucial aspect of every modern-day company. While it is the key to ensuring streamlined operations, it also helps to alleviate service levels, reduce storage costs, ensure effective warehouse management, and help with customer service. Hence, companies that excel in inventory management drive maximum profits.
Introducing SAP Business One
Unlike spreadsheets and inventory management systems, SAP Business One has been specifically designed with flexibility and ROI of small and medium enterprises (SMEs) in mind. This means that SMEs can minimize their Total Cost of Operations (TCO) while implementing an intelligent ERP in a matter of days, customized as per their current and future requirements.
Let’s take a more in-depth look at why SAP Business One would be a perfect fit to take your inventory management capabilities to the next level.
How SAP Business One can Supercharge your Inventory Management?
1. Warehousing
SAP Business One has the potential to not only optimize your warehouse management processes but also take them to the next level. For instance, it provides detailed information and analysis about all the items stored in the warehouse at a particular time as and when required. This enables businesses to identify the best and the worst performing products and allocate appropriate resources and storage spaces accordingly. This drastically improves purchasing and marketing decision-making.
SAP Business One helps to automate inventory accounting for various goods in multiple warehouses using either FIFO or LIFO accounting standards. It also helps businesses to track their goods at all times using a unique serial number from a single, central location.
2. Stock Movement and Transfers
Stock management makes up a large and key part of the inventory management process. SAP Business One automatically records the goods receipt and the list of goods issued in the material documents, which ensures error-free stock transfers between warehouses.
In addition, it further optimizes the shipping of consignments by keeping a track of the entire order history to predict the next consignment orders, which adds to the satisfaction levels across the entire value chain.
3. Material Planning
SAP Business One enables businesses to configure reorders as per the average material consumption cycle. This allows companies to avoid overhead costs induced by unnecessary reorder points. It also forecasts material requirements using a unique wizard tool, whose user-friendly interface enables businesses to make purchasing decisions in a matter of minutes.
To top it all, SAP Business One can also create and maintain multi-level Bills of Materials (BoM) in one, central locations, enabling the workforce to check the quality and quantity of inventory entering and leaving across various touchpoints, ensuring smooth and error-free operations.
4. Production and Warehouse Reporting
Reports pertaining to production and warehousing are critical as they help businesses to form a clear picture of their standing in terms of revenue generated, costs induced, overheads, and other essential business insights. With SAP Business One, generating standardized reports becomes easy; it allows seamless integration with various software and reporting systems to produce standardized reports.
Furthermore, all the insights generated from these reports can be shared across departments instantly with the help of a single easy-to-use dashboard that SAP Business One provides.
Conclusion
Inventory management is one of the most critical functions of a business, holding the key to its health and success. This is the reason why businesses, all over the world, are looking into modern solutions to simplify and elevate their inventory management capabilities. Understandably, technology, specifically an ERP like SAP Business One, is playing a larger role than ever before in resolving inventory management problems.
SAP Business One provides critical real-time data to optimize almost the entire inventory management processes from purchasing, shopping, warehousing, storage, stock turnover, and more. It helps to make the processes fast, accurate, and insightful, nullifying human error and reducing delays.
This is the reason why many organizations, especially SMEs, are increasingly adopting SAP Business One to gain new competitive advantages.
About Akshay Software Technologies Limited
Founded in 1987 and based in Mumbai, India, Akshay Software Technologies Limited is one of the leading SAP Business One Silver Partners that provides SAP Business One ERP Consulting, Implementation, Support, and License resale. With the experience and the expertise to successfully power the digital transformations of SMEs across various industries, Akshay Software is committed to helping businesses leverage the opportunities of the future.