Cloud Based Inventory Management System: Should You Use It? What is a cloud inventory management system and how can it benefit you in managing your stocks? Here’s the explanation. Cloud-based inventory management is basically a system that allows you to monitor and maintain inventory levels using online software. The system effortlessly keeps track of inventory flowing in and out of your organization. It also allows firms to avoid many of the inaccuracies and issues that can come with traditional ways of gauging stock levels. What Is a Cloud-Based Inventory Management System? A cloud-based inventory management system is a modern tool that allows businesses to monitor and manage their stock through an online platform. Unlike traditional methods where inventory data is stored on paper or limited to a single device, this system utilizes cloud servers to securely store and process inventory information. Businesses can access real-time data anytime and anywhere, provided they have an internet connection. Whether you are using a laptop, tablet, or smartphone, you can effortlessly track inventory levels, determine what’s in stock, identify items running low, and monitor incoming orders. The primary advantage of cloud-based systems is their accessibility and efficiency. For businesses, especially those with multiple locations or teams operating remotely, it eliminates the need for physical presence or manual data consolidation. It ensures that inventory is always updated in real time, reducing human errors and saving time that can be allocated to other critical tasks. By leveraging cloud technology, businesses can optimize inventory processes, enhance productivity, and gain a competitive edge in the market. Mekari Jurnal, A Solution for Your Cloud Inventory System Maintain business performance by keeping track of inventory availability using inventory management or warehouse management software that provides product reports and storage in a quick, easy, and real-time manner such as Mekari Jurnal. Mekari Jurnal comes with some features such as: Product Bundling: Bundle products comprising main and sub-products to create attractive deals for clients. Inventory Management: Find information about product availability in the warehouse quickly and conveniently. Multi-Location Warehouses: Determine and track the total quantity of items in your various storefronts. How Do Cloud-Based Inventory Systems Work? Cloud-based inventory management systems simplify and automate the complex task of handling stock efficiently. The system operates through a series of interconnected processes that ensure inventory data remains up-to-date, accessible, and accurate. Here is a closer look at how cloud-based inventory systems function: 1. Cloud Data Storage The foundation of a cloud-based inventory system lies in its ability to store data on remote cloud servers. This eliminates the reliance on local storage or physical records that are prone to loss or damage. Businesses can securely access inventory data via an online platform, ensuring information is available in real time from any location. Cloud storage also allows for scalability—businesses can handle larger data volumes as they grow without additional infrastructure costs. 2. Real-Time Updates Cloud-based systems provide real-time inventory updates, meaning any changes made—whether from sales transactions, product returns, or stock replenishments—are immediately reflected in the system. This ensures that inventory data remains accurate at all times. For instance, when a customer purchases an item, the inventory count automatically decreases. Similarly, when new stock arrives and is entered into the system, it is immediately visible to all stakeholders. By offering up-to-the-second updates, businesses can avoid challenges such as stockouts or overstocking. This real-time visibility enables more informed decision-making, ensuring seamless inventory management. 3. Integration with Other Tools Cloud-based inventory systems are designed to integrate with various other tools commonly used in business operations. These integrations include point-of-sale (POS) systems, e-commerce platforms, accounting software, and shipping services. For instance: POS Integration: Transactions from in-store purchases are automatically updated in the inventory system. E-commerce Integration: Online sales reflect changes in stock levels instantly across all channels. Shipping Integration: Order fulfillment and tracking data are synchronized with inventory systems, ensuring accurate order processing. By connecting with these tools, businesses can streamline workflows, automate processes, and improve overall operational efficiency. 4. Automated Ordering and Alerts One of the standout features of cloud-based systems is automated stock alerts and ordering capabilities. When inventory levels for specific items drop below a predefined threshold, the system generates notifications or automatically places replenishment orders with suppliers. This automation minimizes the risk of running out of popular products and prevents disruptions in customer service. For example, if a product’s inventory drops to 5 units, the system can alert the manager to reorder or directly send a purchase order to the supplier. This proactive approach ensures that inventory levels are always optimized to meet customer demand. 5. Multi-Device Accessibility Cloud-based inventory systems are accessible through various devices, including laptops, smartphones, and tablets. This flexibility is particularly valuable for business owners and managers who need to monitor inventory while traveling or working remotely. All that’s needed is an internet connection and a secure login to the system, providing real-time access to inventory data anytime, anywhere. By supporting multiple devices, cloud systems empower teams to collaborate more effectively, regardless of their physical location. This level of accessibility enhances productivity and reduces the reliance on outdated manual processes. Key Features to Look for in a Cloud-Based Inventory Management System Choosing the right cloud-based inventory management system is critical for businesses aiming to streamline operations, reduce costs, and improve customer satisfaction. With a wide variety of software options available, understanding the essential features to prioritize is key. The following are the eight most important features that every cloud-based inventory management system should offer. Each feature plays a critical role in ensuring inventory is optimized, efficient, and aligned with your business goals. 1. Real-Time Inventory Tracking Real-time inventory tracking is one of the most essential features of any cloud-based inventory system. This capability allows businesses to monitor their stock levels 24/7, ensuring complete visibility over what is available, what needs to be restocked, and what is selling the fastest. With real-time updates, the system automatically reflects changes whenever stock is sold, returned, or replenished. This eliminates the need for manual adjustments, reducing human errors and ensuring inventory data remains accurate. For instance: A product sold in-store will immediately update the available stock count in the system. If new stock arrives at a warehouse, the inventory records are updated in real time. Returns are immediately logged, ensuring inventory levels reflect accurate availability. Real-time tracking is especially critical for businesses managing multiple sales channels, such as online stores, marketplaces, and physical locations. Without this feature, businesses risk stockouts or overstocking, which can disrupt operations, harm customer satisfaction, and impact revenue. By staying on top of inventory levels through real-time tracking, businesses can make informed, data-driven decisions about reordering, allocation, and resource management. This feature also enables smoother collaboration across teams, as everyone has access to up-to-date inventory data. 2. Demand Forecasting Demand forecasting is a powerful feature that leverages past sales data and analytics to predict future stock needs. For businesses, accurate demand forecasting is essential to maintaining optimal inventory levels without overspending or running into stock shortages. By analyzing historical trends, seasonal patterns, and product performance, the system provides valuable insights into customer demand. This allows businesses to: Plan Inventory More Effectively: Forecasting helps determine how much stock to order and when to order it. Avoid Overstocking: Excess inventory ties up capital and storage space, leading to financial losses. Prevent Stockouts: Running out of key items can result in missed sales opportunities and unhappy customers. Identify Best-Selling Products: Understanding which products drive the most demand ensures you prioritize stocking the right items. For example, during peak seasons like holidays or promotional events, demand forecasting helps businesses prepare by identifying the products likely to see increased demand. Conversely, for slow-moving items, it helps limit overstocking and improve cash flow. This feature is invaluable for businesses seeking to optimize resources, improve profitability, and align inventory levels with market demand. 3. Multi-Location Inventory Management For businesses operating multiple warehouses, retail stores, or sales channels, managing inventory across different locations can be complex. Multi-location inventory management simplifies this challenge by providing a centralized system to track stock levels across all locations. With this feature, businesses can: Consolidate Data: Access a single platform that provides real-time inventory updates for all warehouses or retail outlets. Balance Inventory: Transfer stock between locations to meet demand. For example, if one store runs out of a product, it can be replenished from another location. Monitor Performance: Track inventory movements at each location to identify high-performing stores or warehouses. Optimize Storage: Determine which locations need more inventory space and which are underutilized. For e-commerce businesses, this feature ensures seamless fulfillment by routing orders to the nearest warehouse with available stock. It also helps reduce shipping times and costs, improving customer satisfaction. Ultimately, multi-location inventory management streamlines operations, eliminates redundant processes, and enhances efficiency across all business locations. 4. Stock Alerts Stock alerts are essential for preventing inventory shortages and ensuring a steady flow of operations. This feature allows businesses to set custom thresholds for stock levels. When inventory drops below these thresholds, the system generates automated notifications, prompting timely reordering. Stock alerts provide several benefits: Avoid Stockouts: Timely alerts help businesses replenish inventory before products run out, minimizing disruptions to sales. Optimize Reordering: Businesses can prioritize ordering high-demand products based on their current stock levels. Reduce Human Error: Manual tracking often leads to oversights. Automated stock alerts ensure nothing is missed. For businesses selling popular or seasonal products, stock alerts play a critical role in meeting customer demand. For instance, during a peak shopping season, automated notifications ensure that best-selling items are restocked promptly. By automating stock level monitoring, businesses can focus on strategic decisions instead of constantly checking inventory manually. 5. Sales Channel Compatibility Modern businesses often operate across multiple sales channels, including physical stores, e-commerce platforms, and social media marketplaces. Sales channel compatibility ensures that inventory is synced across all these platforms, enabling businesses to manage stock seamlessly from a single system. Key advantages of sales channel integration include: Centralized Inventory Control: Manage inventory for all sales channels in one place, reducing complexity and errors. Accurate Stock Updates: When a product is sold on one channel, inventory levels are updated instantly across all platforms. Improved Customer Experience: Avoid situations where products appear available online but are out of stock in reality. For example, if a business sells a product in its physical store, the inventory count on its online store and other channels will update automatically. This feature helps businesses avoid overselling and ensures a consistent shopping experience across all platforms. Sales channel compatibility is critical for businesses looking to grow and scale operations while maintaining inventory accuracy. 6. Preorder Management A preorder feature allows businesses to accept orders for products before they are officially in stock. This feature is particularly valuable for product launches or restocking popular items. Preorders offer multiple advantages: Generate Early Revenue: Businesses can secure sales in advance, improving cash flow. Gauge Customer Demand: Preorders provide insight into product popularity, helping businesses adjust inventory levels. Build Customer Excitement: Allowing customers to preorder generates buzz around upcoming product launches. For example, an e-commerce store launching a new product can enable preorders to build anticipation and determine the initial demand. This helps businesses avoid overordering or underestimating customer interest. 7. Returns Management Efficient returns management is essential for maintaining accurate inventory levels and ensuring customer satisfaction. A cloud-based system with a returns management feature automates the process of updating inventory when products are returned. The benefits of a robust returns system include: Accurate Stock Updates: Returned items are immediately reflected in inventory counts. Improved Customer Experience: A hassle-free returns process enhances customer loyalty. Reduced Manual Effort: Automating returns reduces errors and saves time for staff. For businesses with high return volumes, such as e-commerce, this feature ensures smooth operations and customer satisfaction. 8. Inventory Reporting and Analytics Detailed inventory reporting provides businesses with critical insights into inventory performance. Reports help identify trends, such as best-selling products, slow-moving items, and seasonal patterns. Key benefits of inventory reporting include: Informed Decision-Making: Use data to optimize inventory levels and purchasing decisions. Improved Profitability: Analyze slow-moving products to reduce unnecessary stock. Enhanced Forecasting: Use historical trends to predict future demand. For instance, businesses can identify which products are consistently performing well and adjust inventory strategies accordingly. What Are The Benefits Of Cloud-based Inventory Management? Keeping the correct stock levels is critical to your company’s success. For numerous reasons, switching to a cloud-based inventory management system might be the best idea for your business. 1. Stock levels are updated in real-time A cloud-based inventory management system can tell you exactly how much inventory you possess on hand. Inventory management software that is cloud-based can notify you if you have enough stock to meet your demand estimate or if you need to order more. This is a critical indicator for determining customer satisfaction and avoiding stockouts. 2. Minimizes error Cloud-based inventory management, moreover, eliminates errors and the risk of stock walking. Because the software is automated, it eliminates the possibility of human error. An order can be completed without the use of human labor, from stock reaching its reorder point through placing an order and sending it to the supplier, saving up your team’s time. 3. Automation A cloud-based solution automates the supply chain so that order execution such as when the stock reaches its reorder point to making an order and delivering it to the supplier can be completed without using human labor. This allows your team to focus on higher-level decisions and priorities. 4. Safety and security When using cloud-based inventory management, the security of valuable information is ensured: no data backup on storage devices is required because all data is securely stored on the cloud remotely. Any changes made are stored promptly, and the service provider ensures security by keeping the cloud inventory management software up to date to prevent cyber attacks. 5. Reporting and analytics One of the hardest components of running a business is demand forecasting, especially in understanding how much stock to order in the future based on how much it’s selling now. Inventory management systems in the cloud analyze your data and generate automatic reports so you can make data-driven business decisions. 6. On-hand historical data Finally, inventory management provides you with a narrative about your company. You won’t know what sells well, what doesn’t, and how you can adjust this to develop your business unless you keep track of the quantities of things you’ve bought, sold, and held. Can Cloud-based Inventory Management Software Help Your Company Grows? Inventory management software that is cloud-based is efficient and effective since it allows you to manage inventory on the move and eliminate stock errors. When it comes to efficiency, cloud-based inventory management software recognizes the demands of today’s fast-paced corporate world and puts all of your inventory data at your fingertips. While riding in the back of a taxi to your next sales meeting, you may log into the system on your mobile device or tablet with a single click to produce stock reports, complete audits, perform stock takes, and access stock movement history. Cloud-based inventory management software not only saves you time, but it also properly maintains your inventory, reducing errors and preventing product from going missing. Stock management software, which replaces spreadsheets and the inaccuracies that come with human data entry, tracks how inventory travels across your whole firm. An audit trail activity stream is available for all items and variants, allowing you to see exactly which products traveled where and when.It’s a win-win situation because excellent inventory management decreases the number of stock takes you’ll have to do, lowers warehouse costs, and allows you to focus on the essential business duties that truly need your attention. Exploring the Top 10 Cloud-Based Inventory Management Software Solutions In the ever-evolving landscape of business and commerce, efficient inventory management is paramount to success. The ability to seamlessly track, organize, and optimize inventory can make the difference between a thriving business and one struggling to keep pace. Fortunately, the digital age has ushered in a new era of inventory management, thanks to cloud-based solutions. In this comprehensive review, we will delve into the top 10 cloud-based inventory management software solutions available in 2023. Each of these platforms offers unique features, advantages, and use cases, catering to the diverse needs of businesses across various industries. 1. Linnworks: Precision in Stock Forecasting Website: Visit Linnworks Reviews: 66 reviews Demo: Free demo available Pricing: Upon request Why Choose Linnworks? Linnworks takes the top spot in our list of cloud-based inventory management solutions for its exceptional stock forecasting capabilities. Designed with multi-channel selling in mind, Linnworks leverages historical sales data to predict future stock requirements, ensuring that businesses stay ahead of the curve. Standout Features & Integrations Noteworthy features of Linnworks include a powerful automation system that synchronizes inventory levels, updates order statuses, and generates shipping labels automatically. This automation saves valuable time and reduces the likelihood of errors. Linnworks also offers real-time consumption data insights, helping businesses understand what’s selling across various channels. The extensive list of integrations includes major platforms such as Amazon, BigCommerce, Magento, Shopify, and more, along with compatibility with popular shipping carriers and fulfillment centers. This broad integration spectrum ensures seamless operations for businesses with a diverse online presence. Pros & Cons Pros: Multi-channel support for over 70 channels. High scalability and flexibility. Multilingual support. Cons: No free trial. Pricing transparency could be improved. 2. SkuVault: The All-in-One Inventory Management Solution Website: Visit SkuVault Reviews: 14 reviews Demo: Free demo available Pricing: Starting from $359 per month Why Choose SkuVault? SkuVault secures the second position on our list as an all-encompassing inventory management system. It excels in efficiently monitoring and managing inventory levels, automating order fulfillment, and optimizing supply chain operations. Standout Features & Integrations SkuVault offers barcode scanning capabilities and robust reporting features. It seamlessly integrates with leading online sales channels, including Shopify, Amazon, and eBay, allowing businesses to maintain centralized inventory control across multiple platforms. Real-time inventory management ensures accurate stock levels, reducing the risk of selling out-of-stock products. The platform’s data-driven insights assist businesses in making informed decisions regarding inventory management, including identifying slow-moving items, tracking seasonality trends, and optimizing stock allocation. Barcode scanning simplifies inventory tracking and management, ensuring precision. Pros & Cons Pros: Onboarding and customer training included with all plans. User-friendly interface. Customizable cataloging options. Cons: Limited overall customizability. Additional fees for extra training. 3. Odoo Inventory: Multi-Echelon Inventory Optimization Website: Visit Odoo Inventory Reviews: 35 reviews Trial: 15-day free trial + free plan available for one app. Pricing: Starting from $24.90 per user per month Why Choose Odoo Inventory? Odoo Inventory secures the third position on our list, known for its multi-echelon inventory optimization capabilities. This cloud-based solution seamlessly integrates critical inventory control functions with broader business operations. Standout Features & Integrations Odoo Inventory boasts real-time tracking capabilities that provide accurate stock visibility across multiple locations while minimizing errors through barcode integration and task automation. The platform empowers businesses with insightful reporting and analytics, facilitating data-driven decision-making. One of Odoo Inventory’s standout features is its ability to optimize inventory levels across multiple facilities, considering transit times and interdependencies. This advanced capability reduces excess inventory, lowers transportation costs, and enhances overall supply chain efficiency. Pros & Cons Pros: Ease of use. Features that reduce human errors. Manages multiple warehouses. Cons: Limited user-friendly documentation. Barcode app needs improvement. 4. Zoho Inventory: Simplified Inventory Management Website: Visit Zoho Inventory Reviews: 70 reviews Trial: 14-day free trial + free plan available Pricing: Starting from $79 per month Why Choose Zoho Inventory? Zoho Inventory takes the fourth spot on our list, acclaimed for its exceptional ease of use. This cloud-based solution simplifies inventory management, offering a seamless and intuitive experience. Standout Features & Integrations Zoho Inventory’s user-friendly interface streamlines tasks such as product setup, stock monitoring, and order processing. The platform provides a well-organized dashboard and comprehensive reporting capabilities, empowering users to gain valuable insights and make informed decisions efficiently. The platform’s integration with over 25 shipping services, including FedEx and DHL, enables users to gather quotes and track shipping statuses seamlessly. Zoho Inventory’s mobile app allows for on-the-go order updates and management. Pros & Cons Pros: Affordable pricing. Easily customizable. Fits a wide range of business needs. Cons: Technical support may need improvement. Some features can be slow. 5. Sage X3: Enterprise Resource Planning Excellence Website: Visit Sage X3 Reviews: 2,503 reviews Demo: Free demo available Pricing: Upon request Why Choose Sage X3? Sage X3 earns the fifth spot on our list, known for its enterprise resource planning (ERP) functionality. This cloud-based inventory management solution offers advanced features for businesses. Standout Features & Integrations Sage X3’s modular design allows for customization and scalability, making it suitable for various industries, including manufacturing, distribution, and services. The platform centralizes critical operations such as finance, inventory, procurement, production, and sales, providing real-time insights into business operations. Advanced reporting and analytics capabilities empower users to generate accurate insights and data-driven decisions. Sage X3’s forecasting tools offer real-time inventory data for informed forecasting, helping to avoid stockouts and reduce overstocked inventory. Pros & Cons Pros: Robust set of features. Effective quality control processes. Capable of handling multiple companies’ stock. Cons: Financial reporting could be stronger. Standard version lacks document management. 6. inFlow Inventory: Managing Inventory Across Locations Website: Visit inFlow Inventory Reviews: 35 reviews Trial: 14-day free trial Pricing: Starting from $49.80 per user per month Why Choose inFlow Inventory? inFlow Inventory secures the sixth position on our list, renowned for its user-friendly approach to inventory management. This cloud-based solution excels in efficiently tracking and managing stock levels, orders, and sales. Standout Features & Integrations inFlow Inventory simplifies inventory planning by allowing businesses to create a centralized inventory database that syncs across all platforms and locations. The platform’s reorder point feature notifies users when a product line reaches predefined inventory levels, preventing stockouts and maximizing sales potential. The mobile app turns a smartphone into a barcode scanner, facilitating stock adjustments and transfers between stores. inFlow Inventory offers integrations with popular platforms such as Amazon, Shopify, WooCommerce, and accounting software like QuickBooks and Xero. Pros & Cons Pros: Inventory trajectory tracking. Well-designed key features. Custom alerts based on predefined inventory levels. Cons: No API access. iOS app may lack some functionality. 7. Fishbowl: Workflow and Process Traceability Website: Visit Fishbowl Reviews: 186 reviews Demo: Free demo available Pricing: Upon request Why Choose Fishbowl? Fishbowl secures the seventh position on our list, known for its workflow and process traceability capabilities. This inventory management system excels in enhancing workflow efficiency and reducing errors. Standout Features & Integrations Fishbowl streamlines inventory-related tasks, including order management, manufacturing, purchasing, and warehouse management, by automating and integrating these processes. The platform simplifies the creation of simple and multi-level orders, ensuring precise fulfillment. It also offers real-time data on inventory flow throughout the manufacturing process. Shipping integrations with logistics providers like FedEx and UPS, along with a well-organized dashboard, provide users with all the necessary data to manage orders effectively. Fishbowl offers integrations with popular sales platforms, including Amazon, Shopify, eBay, and Magento, along with CRM and accounting tools. Pros & Cons Pros: Easy to use. Real-time inventory visibility. Remote user access. Cons: Limited customizability. Pricing may be steep for smaller businesses. 8. Cin7 Omni: B2B Multichannel Inventory Management Website: Visit Cin7 Omni Reviews: 54 reviews Demo: Free demo available Pricing: Starting from $399 per month Why Choose Cin7 Omni? Cin7 Omni earns the eighth spot on our list for its B2B multichannel inventory management capabilities. This cloud-based solution facilitates seamless inventory management for both B2B and B2C sellers. Standout Features & Integrations Cin7 ensures that B2B sales channels are seamlessly connected to popular B2C stores, enabling efficient buying, selling, and scaling of inventory. The platform offers comprehensive reporting features to track sales and inventory, providing insights into each individual sale’s fulfillment. Cin7 integrates with a vast array of third-party stores and marketplaces, including major retailers like Walmart and Costco, as well as specialty stores like Sephora and Ace Hardware. The platform connects to essential e-commerce systems, marketing tools, accounting software, and logistics platforms. Pros & Cons Pros: Handles multiple sales channels and distribution networks. Offers a vast number of integrations. User-friendly. Cons: Possible delays in customer support. Longer loading times in some cases. 9. MRPeasy: Manufacturing-Centric Inventory Management Website: Visit MRPeasy Reviews: 7 reviews Trial: 30-day free trial Pricing: Starting from $49 per user per month Why Choose MRPeasy? MRPeasy secures the ninth position on our list, known for its inventory management tailored to manufacturers. This cloud-based solution simplifies tracking orders, stock levels, purchasing history, and pricing information, centralizing this data for businesses. Standout Features & Integrations MRPeasy offers user-friendly barcode scanning tools for accurate tracking and reporting of stock locations, SKUs, and batches throughout the warehouse lifecycle. Users can create purchase orders for multiple vendors simultaneously, track them until they are received and invoiced, and generate shipping labels with ease. The platform provides an array of dashboards and reports, offering insights into inventory performance metrics such as reorder points, lead times, and safety stock levels. Customizable dashboards allow businesses to tailor their inventory tracking to specific needs. Pros & Cons Pros: Flexible functionalities to cater to unique business needs. Affordable option for SMBs. Automated production planning features. Cons: Customer support not accessible by phone. May lack some specific features due to simplicity. 10. Sortly: Inventory Management for Small Businesses Website: Visit Sortly Trial: 14-day free trial + free plan available Pricing: Starting from $49 per month Why Choose Sortly? Sortly rounds out our list as the best inventory management solution for small businesses. This user-friendly cloud-based platform simplifies tracking and organizing inventory with its visual and customizable features. Standout Features & Integrations Sortly’s visual cataloging system allows businesses to organize inventory items using photos, facilitating quick visual identification and retrieval. Customizable fields enable businesses to capture relevant information for each item, tailoring inventory tracking to specific needs. The platform’s robust barcode scanning capabilities streamline inventory management, enabling users to scan items, track stock levels, and conduct quick audits. Sortly also supports sharing inventory lists and exporting folders. Pros & Cons Pros: Ability to share inventory lists. Ease of adding new inventory items. Ability to export folders. Cons: Limited reporting capabilities. Lack of a dedicated location section. Conclusion In conclusion, cloud-based inventory management software solutions have revolutionized the way businesses manage their inventory, allowing for greater efficiency, accuracy, and scalability. Each of the top 10 solutions listed above offers unique features and advantages, catering to businesses of various sizes and industries. When choosing the right cloud-based inventory management software for your business, it’s essential to consider your specific needs, budget, and integration requirements. Whether you’re a multi-channel retailer, manufacturer, or a small business owner, there’s a cloud-based inventory management solution on this list that can help streamline your operations and drive success in 2023 and beyond.
