What Makes a Good Inventory Control System?
An inventory control (I/C) system is a set of interdependent processes, procedures, and methods that interact regularly to track the flow of individual inventory items from the time they enter the supply chain of the business to the time they leave the business through its distribution or asset disposal system. The system includes all aspects of managing a companys inventories: purchasing, receiving, warehousing, storage, tracking, shipping, turnover, and reordering. Ideally, each of these aspects makes up a separate subsystem. However, different companies have different ways of dealing with these aspects in relation to inventory control. Some treat each aspect as a subsystem while others do not. Computerised inventory control systems have made it possible to combine the various functional subsystems of inventory management into a single cohesive system. In the modern business environment, even MSEs have come to rely on computerised inventory management systems.
