Cloud based inventory management software helps businesses work more efficiently by allowing fast access to the real time inventory information. All inventory stock changes and inventory transactions update central database in real time and become available to all authorized employees.
Inventory management and asset tracking only makes sense if company employees can easily input and access all assets and inventory related information. Cloud inventory management systems make it much easier then desktop ones.
What Is Online (Cloud, Web-Based, SaaS) Inventory Software
Online (Cloud, Web-Based, SaaS) means that you access inventory management software or asset tracking software via a web browser, no installation on your desktop computer is required. Online inventory management software is hosted by a vendor on a remote server and vendor takes care of server maintenance, security and back-ups. Your assets and inventory records are stored in the cloud and are accessible to all authorized users in your organization, which makes collaboration and data sharing much easier.
Why Would You Want To Use Cloud Inventory & Assets Management
Advantages Of Cloud Inventory Management Software
- Assets and Inventory Data Accessibility
All authorized employees in your organization have real time access to asset data, inventory stock, locations and movements. They can enter and review information from any computer or a tablet, outside of the office or warehouse. This is much more productive than having inventory management system installed on a desktop computer with a local access. - Take Tracking Device To Inventory, Not Other Way Around
You can use tablets to track inventory, monitor assets in multiple locations outside of the office: in the warehouse, on the factory floor, in the field, on the job sites or service vans. You can record stocktaking, inventory transfer, sale or disposal in real time, which results in much more accurate inventory counts. - Outsourced Software Maintenance
All inventory management software maintenance aspects (server administration, security, backups) are taken care of by the vendor. This is especially beneficial to small businesses who do not have dedicated system administrator on staff. - Immediate Access To Updates and Bug Fixes
If software package is popular and is being actively used, vendors are constantly adding new features based on the clients feedback. If you keep track of assets and inventory using online software, you get access to updates and bug fixes automatically. In other words, software that you are using is constantly improving.
With desktop inventory management software, you may get updates once per year or none at all. - Lower Upfront Cost
As a rule, you will have significantly lower upfront cost for web based inventory management software than for desktop package with the same features and capabilities.
Why Wouldn't You Want To Use Cloud Inventory And Assets Management
Drawbacks of Online Inventory Management and Asset Tracking Systems
- Less Control
Your assets and inventory data are stored in the cloud and are under control of a software vendor. Larger companies that have dedicated IT staff might feel that their data will be better protected on company's network. Sometimes company might be legally or contractually obligated to keep all internal data on their network.
While this position can be justified for larger companies with experienced IT staff, small businesses' data will be more secure and easier to access if maintained by a vendor with expert IT personnel. - Monthly / Yearly Fees
Although you usually pay less upfront, you do need to pay monthly or yearly fees for online inventory tracking software. Over the time these fees can add up to more than you would spend to purchase the same software outright.
However, you must keep in mind that you are getting not only inventory management software itself, but also service: server maintenance, security, back ups, software updates. Although not as evident, you will need to spend money (often, significantly more money) if you take responsibility for hosting - either by paying an outside consultant or your employees.
Middle Ground - Cloud Inventory Management Software Hosted On Your Network
Some software vendors will allow you to purchase a cloud inventory management system for hosting on your network. This can be a good middle ground for the companies who want or need to keep all data on the corporate's network, but still want to take advantage of a cloud based inventory system: better data access and collaboration for employees, more accurate inventory stock locations and counts.
If, however, you do not already have necessary equipment and expertise within your company, hosting with the software vendor might be more efficient solution.
Takeaways
In our opinion, desktop inventory control systems, as well as desktop asset management software is a thing of the past. It may make some sense to purchase desktop version if
- You are a one person operation, your assets or inventory are not mobile (you only need to enter or look up data while in the office) and software installed on one desktop computer works well for you
- You are a large company with dedicated IT staff, want to keep all data under your control, and your situation is such that you do not need access to the software for your employees outside of the office.
In all other cases, you will gain more by using cloud inventory management or asset tracking software.
Inventory management and asset tracking with mobile devices and barcode scanning.
Track inventory and assets in the field, warehouse or office in real time. Always know what you
have in stock, where your assets are, what projects they were used for. Review usage history and trends,
analyze data to improve business process.
Mobile data collection and workflow tracking. Collect data in the field, on the shop floor or
on the job sites using mobile forms. Link mobile forms to your process / workflow. Store
digital documents in the secure cloud, give all stakeholders immediate access to collected data from anywhere.
Physical inventory count and asset audits. Do planned and ad hoc counts using mobile devices for barcode scanning.
Complete inventory counts and asset audits in
hours rather than days or weeks, eliminate errors and miscounts. Immediately identify discrepancies with "on the books" inventory.