Comprehensive Inventory Management Software in Kenya

Irrespective of the nature of your business in Kenya, you need a robust inventory management system. Why? Because it helps you efficiently manage your stock, fulfil customer orders, and grow your business reputation. This, in turn, boosts your bottom line and helps you thrive in the industry. 

That said, many business owners wonder if they should opt for inventory management software in Kenya. Or perhaps whether there are any benefits of using it. 

If you are also unsure whether you should introduce an inventory management system to your workflow or not, this blog is for you. 

Inventory management system for Kenyan businesses

In Kenya, the VAT system is still in place. The Kenya Revenue Authority (KRA) has devised different slabs of VAT rates for various types of products/services, exports, and imports. So, recording all the transactions properly and filing VAT returns on time is essential.

Your business management software should not only allow you to file VAT on time but also help in inventory management. It should help you record the entry and exit of stock, reorder stock, manage your supply chain, collaborate with different suppliers and ensure that customer orders are fulfilled without any delays or misses.

Sophisticated inventory management software tools, such as TallyPrime, can come to your rescue. It helps automate repetitive processes and reduce human error, leading to increased customer satisfaction and business reputation. 

Let us see more about the features and benefits of such robust tools.

What features should your inventory management software have?

Have you decided to invest in inventory management software to improve the efficiency and accuracy of your stock-handling processes? 

Here are the features you should look out for in your software:

• Ease of handling and categorizing stock: If you want to handle your inventory smartly, you should master the art of categorizing it effectively. When you choose the right inventory management software, you can get this done easily. Software such as TallyPrime helps you manage inventory with techniques like FIFO (First In First Out), LIFO (Last In First Out), JIT (Just in Time) and more. 

Also, it enables you to easily classify stocks based on their value and ability to contribute to your profitability. Using this software, you can quickly do an ABC analysis of your inventory, with A being high-value items contributing to 80% of your profitability, B being mid-value items contributing to 15%, and C being low-value items contributing to only 5% of your profitability.

• Effective warehouse management – One of the most important features of a robust inventory management software tool is warehouse management. Thanks to this, you can design your warehouse layout, plan properly to store raw materials accordingly and set up replenishment levels for each stock-keeping unit (SKU) appropriately, so that items can be reordered when the inventory reaches the critical limit.
• Control over the end-to-end operations of your supply chain: Right from the time stock items reach your warehouse to when they reach your customers, you can monitor all the activities accurately through inventory management software. This way, you can track all orders and reduce the instances of delayed or missed orders.
• Customized operations: A good inventory management tool should have features that can be customized for different types of businesses. As your business grows, the software should have the scalability to adapt to the growth and accommodate the expansion accordingly.
• Effective automation and integrations: Automating your operations as much as possible is the key to success and getting an edge over your competitors. With proper inventory management software, you can do this at various stages of the supply chain cycle. You can also seamlessly integrate these inventory operations into your accounting, people management and other tools to get control over your inventory.
• Compatibility with different types of industries: Sometimes, you may start your business as ecommerce. But you may gradually move to the brick-and-mortar model as you expand your operations. So, your inventory management software should be compatible with any type and nature of business you wish to operate. 

What benefits can you enjoy with a proper inventory management tool?

Why do business magazines and experts stress using inventory management software? If you have always wondered about this, here are the reasons:

Increased efficiency and accuracy – Process automation such as the categorization and replenishment of stock can save you a lot of time and effort. With better control over your inventory, you can also track customer orders in real-time and detect issues early on. 

This improves the efficiency and accuracy of how you handle customer orders, improving customer satisfaction and business reputation.

Almost accurate demand forecasting – Process automation also helps you gather historical data, customer feedback, current market trends, seasonal trends and more. This helps you create almost accurate forecasts so that you never face stock-out issues. 

Great value for money – Smart classification of inventory using robust software helps you get rid of excessive stock and stock-out issues. You get an exact idea of the stock quantity to be held in your warehouse for a given period, keeping your carrying and handling costs to the bare minimum. 

[Related Read: Inventory Management Techniques for Small Businesses in Kenya]

Bottom line

Inventory Management Software, when used the right way, can bring about a magical transformation in the way you run your business operations. By improving the way you handle stock and customer orders, this software also helps you increase your sales figures, boosting your profitability considerably. Yes, it requires an initial investment from you, but the returns you get are gold, adding a lot of value to your business.