Inventory System
Inventory System Summary
QRB/501
Abstract
Inventory Systems Summary
Introduction
Intro Inventory systems are use in many different companies today as a tool to make sure the company strives into success. Inventory systems serve several different functions for businesses; one purpose is promoting the sales function by ensuring that a sufficient amount of product is available for customers. Another purpose is shrinkage control, that is monitoring the frequency of loss, theft, or breakage of products received. Another very important function of inventory control systems is asset valuation; that is establishing the value of the products on the shelf for tax purposes at the end of the tax year. According to the Small Business Administration, all inventory systems strive to strike a balance between managing costs and the business advantages of a broad selection of goods to offer to customers. All inventory systems, regardless of technology, require some element of visual inventory management. Point of sale, bar code, or stub control systems will all require manual verification periodically.
Inventory Systems
Radio frequency identification inventory system is a system considered an IT tool that can meet the needs of both mobility and timeliness is radio frequency identification (RFID). Through radio signals a product tagged with RFID is put in memory until solid. The system has the ability to take into account inventory that becomes low and makes the necessary order to replace the product before the shelf is empty. With this technology in place it ensures the product will be in the right place at the right time to boost sales and streamline managing inventory. RFID decreased the amount of manual orders and replenished shed the product faster than the normal order process. The EPC electronic product code stores the object products from a worldwide perspective. The data representation capability of a Gen 2 tag is sufficient to provide unique
QRB/501
Abstract
Inventory Systems Summary
Introduction
Intro Inventory systems are use in many different companies today as a tool to make sure the company strives into success. Inventory systems serve several different functions for businesses; one purpose is promoting the sales function by ensuring that a sufficient amount of product is available for customers. Another purpose is shrinkage control, that is monitoring the frequency of loss, theft, or breakage of products received. Another very important function of inventory control systems is asset valuation; that is establishing the value of the products on the shelf for tax purposes at the end of the tax year. According to the Small Business Administration, all inventory systems strive to strike a balance between managing costs and the business advantages of a broad selection of goods to offer to customers. All inventory systems, regardless of technology, require some element of visual inventory management. Point of sale, bar code, or stub control systems will all require manual verification periodically.
Inventory Systems
Radio frequency identification inventory system is a system considered an IT tool that can meet the needs of both mobility and timeliness is radio frequency identification (RFID). Through radio signals a product tagged with RFID is put in memory until solid. The system has the ability to take into account inventory that becomes low and makes the necessary order to replace the product before the shelf is empty. With this technology in place it ensures the product will be in the right place at the right time to boost sales and streamline managing inventory. RFID decreased the amount of manual orders and replenished shed the product faster than the normal order process. The EPC electronic product code stores the object products from a worldwide perspective. The data representation capability of a Gen 2 tag is sufficient to provide unique
References: Brown F & Lin P, JULY 2006. The CPA Journal. Radio Frequency Identification and How to Capitalize on It. What CPAs Should Know About RFID Technology. http:// www.nysscpa.org/cpajournal/2006/706/essentials/p34.htm Budding, J, Inventory Management, United States Small Business Administration, retrieved May 21, 2010 from http://www.sba.gov/idc/groups/public/documents/sba_homepage/pub_mp22.pdf http://www.bsu.edu/web/scfrazier2/jit/mainpage.htm http://www.academicmind.com/unpublishedpapers/business/operationsmanagement/2005-04-000aaf-just-in-time-inventory-management.html