Perpetual Inventory Systems and your peace of mind!

Perpetual Inventory Systems and your peace of mind!

Perpetual Inventory (PI) Systems have been around for a long time. Some businesses use them and some don't.

At Fraction ERP we like to keep things simple and PI counting is part of that equation.

Let us put this back into context.

Many businesses carry out yearly, or half yearly stock takes. These take a lot of time and put a big hole in your manufacturing capacity unless you manage the situation very, very, carefully.

If you are a follower of Lean then you will know about its fondness for 'little and often'. Scheduling approaches such as EPEx (Every Product Every...) and single piece flow are testament to this. Perpetual inventory systems are part of the same family of thinking. Consider the image below:

Assuming that in both situations that you have the same processes in effect and the same people, the divergence in your stock levels will occur at the same rate. If you check often and correct the situation you will find that your overall accuracy will be stable. If you leave it for a long period of time then you can waste an awful lot of time going round in circles trying to correct a mess. We have seen too many businesses waste months of administration and management resource trying to deal with these kinds of situations.

Fraction ERP takes a very simple stance on this. We provide a very easy to use stock correction system that allows you to make these kinds of perpetual inventory tweaks on the fly. You can see the screen we provide below:

If you are fed up of messy stock takes and difficult ERP systems then try out Fraction ERP today. You can access the free demo by clicking here.

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