Cloud-Based Inventory Management: How it Aids Businesses

Running a business, no matter the scale of its operations is no mean task. A company must contend with day-to-day operations and all that comes with it and a variety of challenges. One of the key challenges that companies struggle with is inventory management, i.e., the part where they deal with sourcing and storing raw materials and eventually selling the finished goods. Inventory management makes sure that the company has access to the right stock, be it the raw materials or the finished goods, in the right place, at the appropriate time to ensure seamless operations. If you are still unsure about the value this process brings to the table — well, mismanagement in this regard can result in downtime. In turn, it can cost companies anywhere from about $140,000 to $5 million per hour.

The market has offered various inventory management tools over the years. However, off late, there has been an increase in the uptake of cloud-based inventory management solutions. Why? For a variety of reasons, actually. First, there is the minimized downtime — cloud-service providers typically assure a 99.99 percent total uptime. Then there’s also the round-the-clock accessibility and cost savings that come with the use of cloud-based inventory management solutions. But one is bound to wonder if this is all there is to this new crop of inventory management solutions. Thankfully, it is not — here are some other key benefits such solutions offer, making them such lucrative options for companies.

1. Data security: Of course, every company typically deals with a staggering amount of inventory-related data, including data that is highly sensitive in nature — be it for the company itself, its vendors, or even the customers it serves. Understandably, any breaches or loss of data can cost companies dearly. Thankfully, cloud-based inventory management solutions integrate various measures to that end, such as encryption, multi-factor authentication, etc. This helps companies to safeguard against the loss of data as well as breaches.
2. Automation: One of the biggest USPs of cloud-based inventory management software is the ability to automate tasks, including financial tasks. This helps companies accelerate processes, such as invoicing, monitoring expenses, etc., save valuable time and so much more.
3. Reduce errors: Since such solutions offer automation, algorithms, etc., companies can minimize the risk of mistakes, if not eliminate them. Plus, such inventory management solutions can also provide updated data to other users in the ecosystem, prevent duplication of data and more.

The market today, no matter the industry, is becoming increasingly competitive. In such a scenario, you need all the help you can get, i.e., advanced solutions to aid your operations. Cloud-based inventory solutions have a lot to offer in that regard. So, go ahead and find a trusted vendor for cloud-based inventory management software development and get started on your journey to the cloud right away.