The highly competitive marketplace compels business owners to think on their feet, so they can stay ahead of the curve. Overcoming the challenges is no mean feat. In such a scenario, technology has yet again come to the rescue with automated jewellery management system that ensures the ease of doing business. This is no different for the jewellery industry, whether it be manufacturers, wholesalers or retailers.
Let’s take a look at the industry best practices initiated by jewellery inventory software.
Know your business needs
Every business has unique needs. Therefore, what might be a perfect fit one jewellery business may not be the same for another. So the jewellery inventory software of a business should be capable of streamlining its business processes to enhance efficiencies. Analyse your inventory flow to opt for either Continuous Review System or the Periodic Review System. For Continuous Review System, you usually order the same quantity of products on every order you place. You track your inventory level so you can replenish your stock when the inventory dips below a certain number. When you replenish your stock at the same time and decide on the number of products before you place your order, a Periodic Review is best suited as your jewellery management system.
Put some thought behind your jewellery inventory software
Decide on your inventory level basis the size of your jewellery business. Though the number of products stored in your inventory would differ for each industry, it is advisable to maintain low stock levels. This will help you save on unnecessary cash flow required for stock maintenance and operations. Here’s where an effective jewellery inventory software offers insight into sales patterns, seasonality, turnover history etc. This will drive informed decision-making regarding the inventory level that your business should maintain to ensure incremental business growth.
Monitor safety inventory through jewellery software
Minimal stock refers to the minimal amount of each product that you should keep in your inventory as a safety measure to prevent the risk of running out of stock. Rather than being planned in advance, it is best that this number be adjusted and then the jewellery software be updated as per requirements that vary according to seasons and trends, among other factors.
Manage composite stock with jewellery inventory software
For jewellery businesses, jewellery is the end product that is manufactured by putting together different components – stones, gems and metals. Therefore, this industry does not only have to keep an updated inventory of their end products but also the stock for these components. For seamless processing for orders on jewellery, the jewellery software needs to closely integrate the inventory of these components with the inventory for the end product.
Keeping track of volatile prices
The jewellery is ridden by constantly fluctuating prices. The volatility of the market further emphasises on the necessity of an efficient jewellery inventory software that will automate the calculation of profit margin on stock prices of each product. The fluctuating price of jewellery determines your profit margin on stock prices of jewellery items. Calculating profit margins manually proves to be a humungous task, leaving immense scope for human error. Automating the process with a jewellery management system enhances accuracy while saving time.