How to avoid inventory losses in your warehouse
The importance of inventory for the profitability of the companies is indisputable, not for nothing there are many Warehouse Management Systems (WMS) nowadays that seek to improve efficiency and reduce costs in inventory management.For any logistics, manufacturing, distribution or retail company, inventory management is critical since any negative or positive impact on the warehouse directly affects profits.
Even several methodologies have been developed that seek to eliminate inventories altogether or to have only the minimum necessary such as “Zero Inventory”, which is based on the idea of Just in Time.
Problems with warehouse management
However, even though we seek to reduce inventories and make the supply chain so efficient that everything flows smoothly, the reality is that situations always arise that complicate the inventory management in companies. Whether external factors such as shortage of materials or over-demand of finished products; internal factors such as theft among others, inventory management will always have opportunity areas.
A very particular problem in warehouses is theft. It is estimated that every year warehousers, manufacturers and shippers lose 15 billion dollars due to theft, and 87% of those losses occur in freight yards and warehouses.
This problem has many origins; one of these is a consequence of the inefficiency of the WMS in the inventory counting within the warehouse (which is itself another common and important problem), since the registration of raw materials or finished products continues to be totally dependent on the warehouse staff either on paper, through devices such as scanners or handhelds, or directly in a WMS.
The ideal way to avoid this stock inefficiency is to eliminate the dependence on human intervention for the registration of pallets that enter, move or leave the warehouse. Arvolution (link of Arvolution) allows to eliminate such human intervention thanks to Picker, a Computer Vision module installed on forklifts that automates the registration of pallets that arrive at the warehouse, enter and leave the production line, and that are shipped to their next destination; in addition to registering the location of the pallet inside the warehouse. Thanks to Picker we can maximize the efficiency of your warehouse as we drastically reduce the possibility of voluntarily or involuntarily creating missing inventories, making it almost impossible the existence of lost products that can’t be traced.
If you are interested in learning more about Arvolution and how we use Computer Vision to automate your inventory, request a demo and experience the advantages of Picker.