Inventory agility, precision, and effective management play a significant role in driving success and keeping up with the pace of the modern business landscape success.
Oracle Inventory Management lies at the heart of top-tier operational efficiency initiatives, offering a robust solution to streamline processes, optimize resource usage, and empower businesses to thrive in a dynamic marketplace.
Read on to learn more about Oracle Inventory Management and how our senior-level Oracle consultants can help your organization maximize your inventory investment.
What is Inventory Management?
Inventory management involves the critical steps to arrange the flow of items through a company in a continuous cycle, including storing, ordering, selling, producing, and restocking.
Key Inventory management processes usually occur in two tiers: individual item-level control and overall management of inventory and stocking locations. Companies typically balance their inventory flow and outline key strategies by increasing inventory transactions for greater efficiency or minimizing total capital tied up in inventory storage.
Types of Inventory Management Systems
Organizations across industry sectors utilize inventory processes based on their most critical operations, issues, and requirements. The three central inventory management systems are manual, periodic, and perpetual, with perpetual systems as the most accurate and advanced and manual as the least modernized.
Manual Systems: Managing your inventory data with a manual inventory system means physically recording data on paper or a spreadsheet and manually counting items. Small businesses that haven’t yet moved to modern inventory management software often employ this method.
Periodic Systems: Under this inventory management system, the inventory count occurs after an accounting period instead of after each purchase or sale transaction. This system is easy to use and best fit for smaller businesses with fewer goods.
Perpetual Systems: This represents the peak of inventory management systems, leveraging automated software solutions to deliver instant, real-time insights into stock levels. Whenever stock enters a facility, encounters inconsistencies, or is transferred, utilized, or sold, the inventory system promptly updates balances with handheld devices that scan item barcodes or RFID tags.
Key Features of Oracle Inventory Management
Here’s a look at the top features of the Oracle Inventory Management solution for business users:
Comprehensive Substance Management
Gain Fulfillment and Real-Time Visibility Flexibility
Obtain an accurate view of inventory across internal and external areas, including goods in transit. Support inventory activities anytime, anywhere with flexible management options, such as back-to-back, drop-ship, and supplier-consigned inventory.
Manage and Optimize Material Flows
Guarantee efficient order processing and revenue protection by leveraging Oracle’s Inventory Management solution to automate, streamline, and oversee inventory operations across the global supply chain.
Improve Decision-Making
Utilize extensive dashboards to view balances and manage the status of materials for both inbound and outbound movements. Identify and address tasks that demand attention, allowing quick issue resolution across storage locations.
Optimize Inventory and Service Levels
Optimize Stock Levels
Utilize intelligent demand predictions and integrations between Oracle Inventory Management and Oracle Fusion Cloud Demand Management to determine optimal inventory levels and build replenishment strategies tailored to individual item locations. This connection prevents overstocking and stock shortages and guarantees optimal inventory management.
Personalize Replenishment
Activate consumer-based replenishment triggers for exact locations, such as min-max and recurring restocking. Utilize Oracle Fusion Cloud Supply Chain Planning for larger operations and interconnected inventory and supply chain management scenarios.
Guarantee Customer Satisfaction and Revenue
Effectively control expenses and working capital while accurately assessing mandatory inventory investments and achieving revenue targets. This approach allows users to meet customer demand, attain target service levels, and enhance customer satisfaction.
Maximize Profitability and Control Expenses
Maximize Profitability
Attain insight into your organization’s cost framework and supply chain orchestration. Facilitate various costing methods and representations of landed costs and product expenses and track costs with increased flexibility and attention to detail.
Control Valuation
Conduct thorough costing assessments encompassing indirect labor and overhead expenses for improved inventory planning, profitability analysis, and work-in-process valuation. Leverage various ledgers to accommodate a range of regulatory and management reporting needs.
Streamline Receipt Accounting
Achieve complete transparency for inventory transactions and accruals. Manage accounting processes for receiving goods or services from internal transfers, suppliers, or trade transactions and effectively review and audit accruals and modifications to acquisition costs.
Track Intercompany Transactions
Optimize intercompany transactions among operational sites and profit and cost centers. Ensure tax-efficient operations and precise documentation of goods movement between your company’s various business units while saving the integrity of material flows.
Accuracy of Inventory with Cycle Counting & Physical Inventory
Regular inventory checks boost the accuracy of your inventory records, leading to enhanced fill rates and decreased inventory holding costs. By categorizing items based on factors such as usage or value, users can prioritize counting critical items. With precise inventory levels, supervisors can effectively handle any inconsistencies between the recorded and actual quantities for verification.
Metrics like hit-or-miss ratios and specific matches offer managers insights into inventory accuracy trends and discrepancies. Oracle Inventory Management provides periodic cycle counting capabilities and supports full physical inventory counts for organizations required to submit comprehensive warehouse audits.
Benefits of Oracle Inventory Management
Oracle Inventory Management can…
- Improve local and international inventory visibility
- Decrease cycle times, inventory levels, and overall costs
- React quickly to changes in customer demands by moving stock between multiple locations
- Restock essential products promptly through automated replenishment to guarantee key item stock by set locations
- Manage inventory levels with improved flexibility
- Minimize the cost of product or material fulfillment through intuitive partner capabilities
- Gain insights into cost margins and product variability
- Enhance the movement of goods by customizing supply coordination
- Improve the productivity of critical warehouse operations
- Manage expenses associated with standardized fulfillment procedures
How We Can Help
Whether you’re looking to implement a new Oracle application to improve workforce productivity or engagement, integrate with your existing system, or just get started on your Oracle Cloud journey, our team at Surety Systems has you covered!
Our team of senior-level Oracle consultants has the technical knowledge and real-world experience to tackle your most complex projects and confidently lead your team to long-term success.
Contact Us
Are you ready to learn more about Oracle Inventory Management and how our senior-level Oracle consultants can help you make the most of the technology you already own?
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