How utilising a barcode stock taking solution can speed up the painful stock taking process and reduce how often you need to perform them.
Have you just experienced yet another long, painful stocktake, or are you dreading the next one?
We know that the end of Financial Year causes stress. There are so many tasks that need to be completed and stocktake is often one that no one looks forward to. Traditional stocktaking is time consuming and prone to errors, making the process even more challenging. However, advancements in technology—such as barcoding—offer numerous benefits, including improved accuracy, speed, and efficiency in inventory management.
We know how inventory management usually goes, does this sound familiar to you?
Day 1 – Order processing on hold as the stock take begins. The whole business downs tools and picks up a Clipboard! Printed sheets and biros at the ready. Your team are paired up. Everyone from the MD to the office Apprentice are roped in to take part. One person counts manually, the other person double checks and writes down the count. Stocktaking is the physical verification and recording of all the stock on hand at a specific time, and a meticulous stock take is essential for any business dealing with physical inventory.
Day 2 – The stock take rolls on. More counting, lots of grumbling. Everyone’s email inboxes are filling up, and everyone is feeling the pressure to get this finished today! Customers are chasing for delivery of their orders. Your team are already losing interest and you worry that the stock is not being counted accurately. Everyone stays till 7pm to try and get this done. Pizza is ordered…
Day 3 – Despite best efforts you didn’t get finished last night. Everyone is tired and fed up now, but with one final push you count all the zones by the end of the day. Customers are now desperately chasing their orders, which of course haven’t even been entered on the system yet. The office is in chaos. Throughout the process, it’s crucial to record stock counts, quantities, and product codes, and compare these to your inventory records to ensure accuracy.
Day 4 – Mistakes are made, frustration levels are high. Manual transfer of data like this is full of possibilities for human error. The count quantities are entered and there are massive stock discrepancies which must be investigated. Establishing and communicating a clear procedure for dealing with discrepancies is a good idea.
Day 5 – You spend the day trying to get to the bottom of your stock discrepancies, fighting fires to despatch customer orders and booking a holiday to recover from all the stress! Once the stock take has been completed, the next step is to record the physical stock counts into your inventory management system. Accurate stock valuation is essential when calculating a Corporation Tax bill.
We promise, it doesn’t have to be this way!
By utilising barcodes to identify your stock, and stock locations you create a smart, simple, and accurate way to perform your Stocktake. Barcode scanning and scanners allow you to scan items quickly, record batch numbers, bin numbers, and product codes, and update inventory records in real time, minimising errors and reducing cost. Your end of year process will be a fast and seamless activity. Implementing a stocktake can help identify shrinkage such as damage or theft. The counting process requires precision and patience. Stocktaking is a systematic process that involves counting all products and materials and comparing this to inventory records. Barcode stock management integrated with systems like Sage 50 improves product data quality by aligning stock records with physical inventory.
Stocktake preparation: setting yourself up for success
Stocktake preparation is the foundation of an efficient inventory management process. Taking the time to prepare properly can transform your stocktake from a daunting task into a smooth, streamlined operation. By focusing on preparation, you set your business up for more accurate inventory levels and minimise the risk of costly errors.
Start by reviewing your inventory management system to ensure all inventory items are correctly recorded and up to date. Organise your warehouse or storage areas so that products are clearly labelled and easy to access—this not only speeds up the stocktake but also helps your team avoid confusion between similar items. Make sure all barcode labels are in place and legible, as this will allow for quick and accurate scanning during the count.
It’s also important to communicate the stocktake plan to your team in advance. Assign clear roles and responsibilities, and provide training on how to use your inventory management system and barcode scanners if needed. Scheduling your stocktake during a quieter period can help reduce disruption to your business operations and ensure your team can focus on the task at hand.
By investing in thorough stocktake preparation, you’ll improve the overall efficiency of your inventory management system, achieve more accurate stock records, and make the entire process less stressful for everyone involved. A little planning goes a long way towards a successful, error-free stocktake.
How does this barcode inventory system stock taking process sound?
Day 1 – Your warehouse team take their Mobile handheld devices and you send them to a zone or location to count what they find there. They simply scan the barcodes of everything they find. Zap, zap zap, and move on! Not a clipboard, or biro in sight and this is not a two-person job! Implementing a barcode inventory system or warehouse management system enables real-time inventory tracking and inventory control, making the process efficient and accurate for small businesses and medium sized businesses. Inventory tracking software and cloud-based inventory management software help manage inventory, track large quantities, and are scalable for growing businesses. For example, a barcode can encode a product code or batch number, allowing for quick identification and traceability of items.
Day 2 – You complete the count. The data is sync ‘ed in real time to your back-office system. You check your figures here and address any major discrepancies. No manual data entry! Once confirmed you accept your stock figures on the computer. Everything is updated immediately (as if by magic!). You can also export inventory data for record-keeping or sharing within the supply chain. Using inventory management software allows businesses to manage their stock in real-time, enhancing visibility over inventory levels. Inventory tracking software helps companies understand what products they have in stock and where they are located.
Day 3 – You’re back to processing your customer orders 2 days sooner than by the old process. Business as usual!
Your future: Your next stock take will be even simpler, and you can reduce the frequency of our stock takes, because by using barcodes for goods in and goods out transactions you’re naturally stock taking every day and ensuring your stock remains accurate at all times! Barcoding speeds up data collection, reduces errors, and integrates with inventory software to streamline supply chain processes.
Accurate stock figures lead to an ability to process and manage more transactions every day, maximise sales opportunities, prevent over- or under-stocking, and improve overall stock control, allowing your business to grow without increasing headcount.
Being able to rely on accurate stock figures naturally results in increased customer satisfaction as your business can fulfil customer orders more quickly, anticipate future stock requirements and speed up all your customer communications.
Your team are not constantly using up valuable time physically checking stock levels. They can trust the data on their computer and are therefore, happy, contented and naturally able to perform their role well.
ConnX Stock is a modular Stock Control solution which is directly integrated with Sage 50. ConnX Stock adds barcode stock management to Sage 50 without any changes to your existing Sage processes. It integrated seamlessly and is simple to use, powerful and has a straightforward implementation process.
ConnX Stock’s modular format allows you to build a better business through bite sized modules which can be added at any time. The core package includes Goods In / Out processes, Stock Taking and Returns as standard. Additional modules include:
- Manufacturing
- Courier
- Trade Counter / Counter Sales
- GS128 barcode app to utilise application identifiers for one scan collection of multiple pieces of data.
- Back Orders Management
- Forecasting
- Product Control (Batch Control, Serial number recording, Date Control and First in First Out)
- Remote Order Creation Module (Raise Sales orders on the go from your mobile / handheld device)
- Integration to Work in Progress tracking for job routing.
If you are frustrated with your current Stock management, learn more about ConnX Stock and how we can help your business streamline and speed up processes. We love helping businesses to become more efficient, more accurate, and more profitable.
Make stocktake pain a thing of the past!