June 30, 2022 Blog

Strategies to Solve Inconsistent Tracking in Inventory Management Using Odoo

By Fida-E Zaheer, Read 6 mins

There are many small, medium, and big enterprises around the world that implement various strategies to solve inconsistent tracking in inventory management using Odoo. Inconsistent inventory tracking is one of the fastest ways to lose valuable profits and the loyalty of hooked customers. Inconsistent inventory issues act as a sword that not only hurts the business in terms of profits, but also hurt the supply chain and the customers at the same time. The mismanagement of inventory in terms of inconsistency is the most pressing problem in businesses with single or multiple brands with one or more warehouses at numerous locations. At a time when businesses are scrambling to enable their online presence and coupling their e-commerce stores with their brick-and-mortar stores, inventory management has emerged as the most time-consuming, strategically critical, and recurring issue for the companies.

To understand why inventory mismanagement is a big issue, one needs to understand the supply chain in broader terms. For businesses dealing in relatively smaller quantities of the product, and within narrow profit margins, product acquisition comes with multiple sources. So, these businesses do not have to worry about the product manufacturing time as they have the option to acquire a product from multiple sources. However, time becomes a critical issue when the business has limited options in supply sources (narrow supply chain). Since these businesses are among the primary source of the product, anticipating the supply and demand becomes their primary responsibility. For these companies, inventory management plays a pivotal role in the overall strategy of maintaining smooth supply and demand. The discrepancy in inventory due to inconsistent tracking can quickly clog the supply chain and start to choke business at the cost of valuable customers and profits. Due to these discrepancies, businesses fail to realize the problem until it’s too late to remedy the cause and loss is imminent.

inventory management
Figure 1: Manual Inventory Management

To resolve inventory issues, businesses often opt the manual inventory tracking to save the cost of software and automation. Many times, businesses put their trust in manual reconciliation for inventory management. In manual inventory management, the inventory is either printed and stocktake is done manually, or the inventory is put on a spreadsheet and the workers carry minicomputers with them for stocktake. IN both cases, the process is tedious, time-consuming, vulnerable to redundancy, and has significantly higher chances of misinformation in inventory. There are many solutions for inventory inconsistent tracking out there. However, the Odoo Inventory tracking solution leaves all the others to dust with its meticulously planned inventory management software and ecosystem.

inventory module in odoo erp
Figure 2: Inventory Module in Odoo ERP

Odoo Inventory is just the complete solution for inventory management and solution to all inventory-associated problems. First things first, Odoo Inventory can be as broad as your company. This effectively translates to being able to centralize all your warehouses, and efficiently put your business on the web for e-commerce. Odoo Inventory is not a crown jewel of Odoo ERP for nothing. It seamlessly enables you to consistently track the inventory from supplier to the customer with options of scraping, stock internal transferring, product shipment, and receipts all within the app. With correct Odoo Inventory setup and integration, the inventory tracking cannot go wrong. The Inventory module offers mobile flexibility that enables dashboard and order tracking from anywhere anytime. The Odoo ERP offers impressive connectors to link with Inventory modules for shipping such as USPS, FedEx, DHL, and UPS. With these connectors, the path of the product that originates from suppliers completes another milestone of tracking.

The inventory module is efficiently and effectively integrated with the Accounting, Purchases, and Sales modules in Odoo ERP, and makes sure that the inventory has complete visibility in these departments for consistent tracking. This supply chain and customer coupling via Inventory and its integrations provide a complete 360-degree view of the cost to manufacture to profits for any product. Because of this across-the-board visibility, the inconsistencies are efficiently detected, reduced, and removed without days of manual stocktakes that are highly prone to error due to the human factor involved. The Inventory offers real-time synchronization and hence removes any bits of doubts about product availability for customers.

odoo erp in action
Figure 3: Odoo ERP in Action on The Behest of Host Business

One of the strategies to solve inconsistent tracking in inventory management using Odoo is the use of an IoT module. In typical inventory management (even in automated inventory management), the most error-prone stages are inventory entry, inventory exit, inventory scraping, and inventory return into the system. At these stages, a minor mistake can break the whole consistency inventory. Your business can be the leader in truly automated inventory management using Odoo IoT. There can be multiple smart cameras that can detect and count the products on multiple shelves. Similarly, on entry and exit points there can be barcode or QR code readers to automatically read the product details. These cameras and bar code readers can then be linked to the Odoo ERP via the IoT module. Since modules in Odoo ERP are fully integrated, the IoT module can (in real-time) export the data to Odoo’s Inventory module. By way of Odoo IoT, manual and error-prone stock-taking can be fully automated. The automation then can be authenticated if the need arises. Similarly, the inventory shrinkage can be detected using Odoo IoT effectively saving costly time and human resources.

With Odoo ERP, the complete 360-degree view of the business is convenient and easy. The Inventory reconciliation report can easily be generated, and that too without any hassle. The advanced reporting engine reports the details of inventory and hence the inconsistencies can be remedied at the core of their origin. Odoo ERP takes care of the complete process from inventory requisition in the supply chain, to inventory induction in the warehouse, (optional) automated inventory reporting, physical product positioning, order placement, and eventually order packing, shipping, and tracking for the customers, business, and suppliers. Odoo ERP’s centralization provides businesses with wider options of strategies to solve inconsistencies in tracking inventory management. This effective business taking care makes open-source Odoo ERP the first choice of over 7 million users worldwide.

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