Warehouse inventory tracking specialist, Dexory, explores how automated solutions can make daily counts easy and essential.
Accuracy and efficiency of inventory management can make or break a business. Traditionally, inventory counts were done manually on a set schedule – like weekly, monthly, or even yearly. But now, with technological advancements, automated cycle counting has become a preferred solution for the sector. Imagine a world where inventory errors are a thing of the past.
In this world, the tedious and error-prone process of manual counting in warehouses and distribution centres is replaced by a system that’s both precise and efficient. Manual counting, which often only reaches an accuracy rate of 65% to 70%, is no longer a concern, and discrepancies that are used to disrupt operations and impact customer satisfaction are eliminated.
Errors and their compounding effect
Daily inventory counting is key for several reasons, but one is more important than others for maintaining accurate stock levels.
If an error occurs on day one and isn’t corrected, it will indeed compound over time. For instance, if an extra 100 units of a product is mistakenly recorded, that incorrect count will lead to erroneous stock data. This error can affect subsequent inventory decisions, such as ordering and stock allocation. By the time anyone realises there’s an issue, the impact of that initial error could be significant and can cause a cluster of mismatched inventory figures and disrupted supply chains.
It’s no secret that regular daily counting helps catch these errors early, preventing them from escalating and causing widespread problems.
And this is where automated solutions, especially robotics, step in.
Autonomous mobile robots (AMRs) can effortlessly move through warehouse aisles, scanning barcodes and keeping inventory records up to date. These robots work seamlessly with a user’s WMS, providing real-time updates and valuable insights into operations. This means users get unmatched visibility and control, making warehouse operations smoother and more efficient.
Here’s how automated solutions can transform operations:
- Improved accuracy and real-time insights: Automated inventory counting with robotics and AI achieves incredible accuracy, often hitting 99.9%. Daily counts keep users updated on inventory levels, reducing the risks of stockouts or overstocking.
- Enhanced operational efficiency: Automated systems can scan large areas and thousands of locations in hours, freeing up teams from manual counting and allowing them to focus on more strategic tasks, while real-time data will help logistics managers adjust inventory and improve supply chain processes.
- Cost reduction and waste minimisation: Daily inventory counts help catch discrepancies early, reducing stock loss and financial waste. By addressing issues like misplacements or picking errors promptly, users can cut operational costs and increase profitability. Plus, with new subscription models, adopting automated systems is more affordable than ever, avoiding the need for hefty initial investments.
Utilising real-time data
But it doesn’t stop there. Daily inventory counts are crucial, but integrating them with advanced technologies like AI, Machine Learning, or IoT can significantly enhance operations, allowing real-time data action and quick recovery of potential revenue losses.
They ensure accuracy in inventory levels, reducing errors and improving order fulfilment rates. Plus, they streamline the put-away process, leading to quicker and more precise stocking. Real-time monitoring keeps production lines running smoothly by maintaining optimal stock levels and reducing downtime. And let’s not forget space optimisation – automated solutions analyse storage patterns to make sure every inch of a warehouse is used efficiently. With real-time data from automated solutions, users can manage their warehouse proactively and easily meet, or even exceed, their KPIs.
In a nutshell, automated inventory cycle counting is a game changer for the logistics and warehousing world. Instead of sticking with the traditional manual checks every day or week, or only counting now and then, switching to automated daily inventory processes can make a big difference. It helps businesses keep their inventory spot-on, run more smoothly, and stay flexible.
