First off, let’s take a closer look at inventory Management.
What is Inventory Management?
Inventory management, by definition, is the process of ordering, tracking, and using up everything your business stocks. From raw materials to finished goods, a solid inventory management strategy will help ensure your company runs as smoothly as possible.
Why is Inventory Management important?
Inventory management is important because it ensures businesses know what they’ve got in stock, where it is and how much of it they have. This knowledge helps businesses keep doors open, customers happy and revenue high.
When businesses fail to practice proper inventory management, stockrooms become disorganised, employees become stressed, and over- and under-ordering becomes commonplace. Unsure of what’s on hand, people tend to over-order out of an abundance of caution. This simply adds more unnecessary, disorganised stock to an already chaotic storage room.
What’s new with MYOB?
MYOB has just launched its first cloud-based inventory management system called Premium Inventory in MYON Business which offers an affordable way for small-medium size businesses to track and control their inventory from anywhere, any time!
Goods based businesses can now enjoy the benefits of an enterprise grade inventory product. Managing stock is a critical element of doing business for a wide variety of operators, especially in today’s fast-paced market where the demands of customers are higher than ever before.
Premium Inventory is an integrated solution which enables you to gain data visibility and speed. There’s no need to reconcile the information across different systems, which can lead to errors and productivity loss. It essentially takes the guesswork out of managing your inventory by allowing:
- Control over your stock movements, avoiding out of stocks, over-ordering and other wastage
- Better forecasting for seasonal or sales events and adjust pricing accordingly
- Quick auditing of stocktakes
The latest business management platform MYOB Business brings together a comprehensive set of online solutions, sporting an easy-to-navigate interface with features split out into pricing tiers. The result is a scalable platform enabling business operators to track their key financials, manage taxes, raise invoices and more. And, with the new addition of Premium Inventory, now MYOB Business is ready to support goods-based businesses.
Here are some of the many features you can enjoy once you have added Premium Inventory to your MYOB software:
- Achieve efficiency and productivity in operations, ie maintain the right amount of stock to maximise cashflow
- Minimise inventory costs and maximise sales & profits, ie understand your carrying cost (like shrinkage or storage fees) and the margin of each product
- Integrate your entire business, ie centralise your stock on hand (SOH) information among 5 different sales channels
- Automation of manual tasks, ie reordering stock that is low
- Maintain customer happiness, ie avoid overselling or tracking goods delivery status
How much does it cost?
The amount you are charged for using inventory in MYOB Business depends on how many inventoried items the business uses, as in, how many items you want to track the on-hand quantity of.
Premium Inventory is free for all MYOB Business customers for tracking up to 10 items. Alternatively, you can unlock limitless items in Premium Inventory for only $22 per month.
You can create as many I buy/I sell items as you want with the included inventory features in MYOB Business, but there is a limit of up to 10 inventoried items you can create beyond which you have to pay the fee for Premium Inventory. This limit is based on the number of active items that have the option I track stock for this item selected:
An active item is an item that has the option Inactive item deselected. When Inactive item is selected, the item no longer appears in reports and some selection lists and is no longer counted as part of the number of inventoried items you’re using.
Selecting I track stock for this item unlocks the ability to track the quantity of the item that you have on hand, to automatically update that on-hand quantity whenever you buy or sell the item, and to use inventory reporting.
If you’re using the included inventory features in MYOB Business, you can select this option on up to 10 items. If you’re using Premium Inventory in MYOB Business, or you have subscriptions to the AccountRight Plus or Premier desktop apps, you can select this option on an unlimited number of items.
Is this management platform right for my business?
This feature is currently best suited to retailers and merchants stocking high-value items in relatively low quantities, such as a furniture specialist retailer. However, this will change as they continue to add more features over the coming months. So, keep a look out for upcoming developments as it is sure to make a big difference to your businesses’ chance of success!