3 Reasons Why Excel Is Bad For Inventory Management
Accelerate Inventory Planning & Management with Softvision Suite
Retailers track inventory for the simple reason of knowing what products you have on-hand; your current stock levels; and whether you are going to meet your customer’s needs. The more complex question is how do you track your inventory? A lot of clients come to us because they have outgrown the labor-intensive, often inaccurate, manual inventory processes which are often heavily reliant on Microsoft Excel or Access.
As you mature and add multiple locations, warehouses, and complexities, you need more sophisticated methods for tracking inventory and keeping your company growth on track. Yes, using Excel is relatively easy, convenient, and cost-effective in the beginning. However, as your business expands, you will quickly leave those benefits behind. Continuing to use Excel to manage your growing business will cost more money than investing in an inventory management solution.
3 Major Reasons to switch from Excel to an Inventory Management Solution.
- Excel does not provide you the ability to understand total inventory need across all channels. Without a clear picture of total need, you will have a difficult time forecasting sales or planning your purchasing.
- Inventory Planners need the ability quickly analyze real-time data and take action. Updating a spreadsheet accurately once a day is very demanding, and unattainable by many organizations. Even if this is achieved it is still nowhere near real time and is not an efficient use of your employee’s time.
- Reduce the chance of human error. Tracking large quantities in Excel increases the likelihood of data entry errors, especially if your inventory moves frequently from location to location. One small typo can create a costly snowball effect.
With other areas of the business moving at the speed of light, choosing an inventory management system to streamline the inventory process should be a top priority. Moving from an Excel/Access based solution to an inventory management system will not only show a quick return on investment, the operational improvements will make both your employees and customers happy!
Individuals who have made the transition from Excel to an inventory management solution like Softvision Suite have seen a quick return on investment. For example, Doug Carmel, COO Flaghouse Inc., stated the following,
“In less than 9 months of implementing (Softvision Suite) our active inventory has come down more than 20% since its peak in mid-February of this year. In addition, the inventory is $270K less than it was during the same date a year ago.”
Avoid the inefficiencies, errors, and delays caused by using Excel/Access for inventory management. By switching to Softvision Suite, you will be able to optimize your inventory levels and lay the foundation for an efficient, profitable business!