Inventory Management Services
What is Inventory Management in eCommerce?
A company’s inventory is one of its most valuable assets. It has a direct impact on sales, revenue, cash flow, profitability, and customer satisfaction.
Inventory management is the systematic approach to sourcing, storing, and selling inventory. It is the process by which an organization manages its physical stock, controlling the inflow and outflow of products from the point of procurement to the final sale. This includes tracking inventory by location, choosing when to submit purchase orders and fulfilling sales efficiently. The purpose of inventory management is to ensure that the right products are in the right place at the right time.
Effective inventory management is a must for maintaining the right balance of stock—neither too much nor too little. Without an effective inventory management system, a company faces challenges like overstocking, understocking, increased administrative burden and operational costs. By leveraging advanced inventory management systems, e-commerce businesses of all sizes can keep track of their stock levels in real time, automate reordering processes, and manage returns.
What is 3PL Inventory Management Software?
3PL inventory management software is packed with tools to help logistics providers handle a company’s inventory. It streamlines everything, from receiving and tracking inventory to managing orders, creating shipping labels, and generating reports. Plus, it offers real-time visibility into inventory levels from various data points, so companies can hit reorder points perfectly and avoid overstocking. This all adds up to a smoother supply chain and better order fulfillment services.
Features and Benefits of 3PL Inventory Management
3PLs manage inventory by storing it in their facilities, providing real-time tracking, optimizing stock levels, handling order fulfillment and returns, and offering detailed reporting
- Real-Time Inventory Tracking: Monitor your stock levels in real-time with our advanced inventory management systems. Our solutions integrate seamlessly with your e-commerce platform, delivering accurate data and insights to help you make informed decisions and stay ahead of demand.
- Inventory Analysis and Planning: We start by analyzing your current inventory levels, sales data, and market trends to understand your business needs. This enables us to create a customized inventory management plan that aligns with your sales patterns and customer demand.
- Automated Reorder Points: Stay prepared with automated reorder points for your best-selling items. Our system generates reorder notifications when inventory levels reach a predefined threshold, ensuring optimal stock levels without constant manual intervention.
- Warehouse Efficiency and Organization: Inventory management helps optimize our warehouse layout for quick and accurate order picking. Our strategies include categorizing products, implementing logical layouts, and using barcode scanning to reduce the time spent locating items and increase overall efficiency.
- Returns Management: Maintain customer satisfaction with our efficient returns management system. We ensure returned items are quickly restocked or processed, keeping your inventory accurate and your customers happy. Returned items are inspected and categorized to maximize their useful life, whether by restocking, refurbishing, or recycling.
- Reporting and Insights: Gain detailed reports and analytics on your inventory performance. Our insights help you identify trends, forecast demand, and make informed decisions, understanding which products are performing well and which need attention.
Common Inventory Management Methods
Utilizing the right inventory management method can help optimize your stock levels, reduce costs, and improve operational efficiency. Here are some common methods:
- FIFO (First In, First Out): Ensures the oldest inventory items are sold first, ideal for perishable goods and items with expiration dates, minimizing obsolescence and waste.
- LIFO (Last In, First Out): Prioritizes selling the most recently acquired items first, beneficial for businesses dealing with non-perishable goods or experiencing price inflation, aligning with the current cost of goods.
3PL Inventory Management by Industry
At ShipWizard, we partner with a variety of e-commerce businesses ranging from medical devices to pet supplies. We expertly handle inventory management for:
Dietary supplements and nutraceuticals
Subscription boxes and continuity orders
And more!
