Warehousing is the act of storing goods that will be sold or distributed later. Warehousing and all that goes along with it is part of a sophisticated industry known as inventory management. Inventory systems help a business monitor, track and controlling inventory orders, raw materials, finished goods usage and storage along with management of finished goods that ready to sales. The picture below shows the physical inventory count in a warehouse.
The process typically involves a retail staff member (or team of workers) going through the stock room and counting. The data is then recorded either manually, using pen and paper or electronically using a mobile device. The cycle counting can be done daily or weekly (usually before the store opens) and can free you from having to do full inventory counts.
ABC Inventory Analysis Technique
The ABC analysis is a business term used to define a listing categorization technique often utilized in material management. It is also referred to as “Selective Inventory Control” ABC evaluation provides a system for identifying items which will have a substantial effect on overall inventory cost, while also offering a system for identifying different types of stock which will require different administration and configurations that inventories of a business aren’t of equal value.