The food industry throughout the world is certainly thriving. In fact, statistics show that the FDA or Food and Drug Administration regulates an estimated $417 billion of domestic food and $49 billion worth of imported foods. Many food manufacturing companies utilize a wide range of tools and equipment to help them produce quality products. With that in mind, it’s important that your food manufacturing company focuses on proper inventory management. Considering that, here are four benefits of implementing a food inventory management software system.
- Reduces Inventory Costs
It’s imperative that a food manufacturing company keeps a close eye on costs. In many cases, these companies will have items that sell better during certain times of the year. On the other hand, a product could simply begin to lose popularity. In either situation, this often leads to inventory costs that could have been avoided. With that in mind, food inventory management software can solve these problems. Having food ERP software keep track of inventory levels provides you with a clear picture of what is and is not selling well.
- Saves Your Business Time
Another important concern for a food manufacturing company is saving time. Food manufacturing companies often work with large inventory numbers. This means that managers and other employees often spend much of their shift keeping track of inventory. If you’re wanting to reduce the time employees spend counting items and going over spreadsheets, implement food inventory management software. In addition, certain companies offer mobile inventory management software. This is a major benefit because it allows employees to track inventory from mobile devices. Field workers often utilize mobile inventory management while away from their offices.
- Helps Keep Your Business Organized
Food inventory management software can also help keep business partner relationships in good standing. The success of many food manufacturing companies is dependent upon having positive relationships with business partners. If your company is unreliable, this could damage these relationships. In turn, your company might have a hard time attracting reliable companies to work with. However, food distribution software works to solve these problems by ensuring that your business always the right amount of inventory available.
- Maintaining a Competitive Advantage
Research shows that there are currently about 750 companies in the US fresh prepared foods manufacturing industry. Considering that, it’s important that a perishable food business is able to have an edge over the competition. With that in mind, you might find that using quality food inventory management software gives your company this advantage. Statistics gathered from Logility found that over 65% of business are still depending upon outdated spreadsheets and equipment to keep track of inventory. These outdated methods often mean that employees will be spending a lot of time to complete inventory management tasks. However, companies utilizing food inventory management software avoids depending upon outdated technology.
To summarize, keeping track of inventory certainly has many benefits. One study by the US Bureau of Labor Statistics found that food accounts for an estimated 13% of a typical American household’s spending. Considering that, it’s important that your food manufacturing company continues creating products that end up on store shelves and in the homes of consumers. You’ll find that many aspects of inventory management become much easier by using the right kind of software.