Optimizing Inventory Management With The Barcode Scanning Software

A guide on the barcode inventory software implementation and scanning equipment

Barcode inventory software is an essential tool for the efficient and accurate inventory management. Barcode scanning speeds up the inventory management process and reduces errors. Modern barcode inventory systems are cloud-based and come with the mobile apps. You have an option to use a smartphone or a barcode scanner for the real time inventory tracking. A cloud software and mobile apps make barcode inventory systems efficient, user-friendly and real time. This article discusses modern barcode inventory software systems, how to implement them and what scanning equipment can be used.

 

barcode scanning inventory management

An Overview Of The Barcode Inventory Software Systems

There are a lot of different barcode types, but most frequently used in the inventory management are UPC barcodes and QR codes. You can use either of these barcode types for the efficient inventory management. You can also use a barcode scanner or a smartphone for inventory scanning.

upc barcode

Using UPC Barcodes For Inventory Management

A UPC (Universal Product Code) barcode serves as a product identifier. UPC barcodes are commonly used for inventory and asset tracking.

What are UPC barcodes?

A UPC (Universal Product Code) barcode is what you see on most products. It is often called "manufacturer's barcode." The number encoded in the barcode is a product SKU or a part number. It uniquely identifies inventory line item. It will be the same number for all companies that produce, store or sell this product.

UPC barcode is a one dimensional (1D) linear barcode that consists of black and white stripes. It can encode only letters and numbers, and only up to 16 characters. If your inventory or assets already have a barcode from the manufacturer, most likely it is a UPC barcode.

How UPC barcodes are used in the inventory management software?

In all inventory software systems each line item should have a unique ID. A barcode encodes this unique ID number (often called SKU, line item number or part number). Barcode scanners can scan in this number fast, and ensure that there are no mix ups in item identification. Barcode scanning eliminates manual data entries and speeds up inventory processing.

Barcode inventory software is a significant step forward as compared to the systems that require manual data input.

What equipment is used in the barcode inventory system?

In the past all barcode inventory software systems where coming with the regular scanners. A barcode scanner does not have a screen and should be connected to a computer in order to work with the inventory management system. If a software user needed to manage inventory away from the office computers, he would need to use a mobile computer. Mobile computers have a screen and built-in barcode scanners.

A modern barcode inventory software system can use smartphones instead of the scanners or mobile computers. Company employees can use their own smartphones (usually iOS or Android based), eliminating the need for the specialized equipment. Smartphones provide a direct link to the cloud software, giving barcode inventory system users access to the real time data.

Using QR Codes For Inventory Management

QR codes, or Quick Response codes, are two-dimensional barcodes that can store more data than UPC barcodes. They can be easily scanned with the mobile devices that people use (smartphones or tablets), and are now replacing UPC barcodes for the inventory management tasks.

What are QR Codes?

qr code

A QR (Quick Response) code is a 2 dimensional (2D) barcode that stores data both horizontally and vertically. It consists of black squares on a white background, and can be easily scanned with a mobile phone or a QR code reader. A QR code can fit much more data than a UPC barcode, and have a better error tolerance. A QR code can be scanned even if the label is damaged or obstructed because of the built-in error correction. QR codes can be more reliably scanned with a smartphone than UPC barcodes, with the faster scanning speed.

Due to these factors QR codes are now a preferred barcode type for the inventory management systems.

How QR Codes are used in the inventory management software?

Similar to the UPC barcode, a QR code serves as a unique line item identifier. Unlike UPC barcodes, QR codes can encode additional info about inventory. The info may include item weight, size, dimensions, etc. Some inventory management systems use this capability and encode extra data in the QR code. Other systems dynamically fetch needed info from the back end cloud software.

QR codes can be scanned by all types of smartphones, which many companies prefer to use instead of the barcode scanners. Therefore, barcode inventory software systems that rely on the scanners are being replaced with the QR code inventory management systems. A QR code inventory management system combines a cloud software and a mobile app. This combo allows for the real time updates, so that all software users have live access to the data.

Implementation Of The Barcode Inventory Software: Step By Step Guide

In order to implement a barcode inventory software in your company you need to go through several steps.

Generate barcode labels

Generate barcode labels with the unique ID numbers for the inventory line items. These ID numbers are often called SKU, part number or line item number.

Label inventory and enter it into the software system

You will need to attach barcode labels to the inventory items, and enter inventory into the software system. You can either bulk import data from a file, or enter inventory into the software manually, item by item. You can also use a mobile app to scan an item and enter it into the system.

Use barcode scanning to track inventory

When you receive inventory in the warehouse, move it within the warehouse or between the job sites, sell, or use it for a project, scan a barcode and record a transaction. You can use scanning equipment of your choice: a barcode scanner, a mobile computer, or a smartphone running iOS or Android.

Inventory stock is updated

Inventory stock and location in the central database are updated in real time. All authorized software users have a live access to the data, on the mobile devices in the field or computers in the office.

Review inventory reports

Review real time inventory stock, movement history, trends and statistics using barcode inventory software reports. Use analytical reports for the better planning and demand forecast.

Scanning Equipment Used In The Barcode Inventory Software

In the past you had to use regular barcode scanners for inventory management. Now you can still use barcode scanners, but you also can use smartphones or tablets and not spend any money on the scanning equipment. Each type of barcode scanning equipment has its own pros and cons. In this section we discuss your options so that you could pick what works better for your inventory management needs.
 

Barcode Scanners Or Smartphones: What Works Better For Inventory Management?

As always there are pluses and minuses in both approaches, so the final decision depends on your specific inventory management needs. You can also connect a barcode scanner to a smartphone to get the best of both worlds.

Advantages of using smartphones for inventory management

Tracking inventory anywhere
Barcode scanners have to either be plugged into a computer or be in the vicinity of the computer (wireless type). When you are using a smartphone for inventory management you can be anywhere and you still can scan assets and inventory.

Real time inventory stock updates
Smartphones can be connected to a back end cloud software practically anywhere, via wifi or cellular connection. Therefore, you always have live data that can be accessed by all authorized software users, in the field and in the office.

Lower inventory software cost
If you plan to use inventory software that works with the barcode scanners, you will need to purchase at list 2-4 of them. Barcode inventory software that uses smartphones does not require you to purchase any extra hardware or do any additional setup. Company employees can use their own mobile phones for barcode scanning and field inventory tracking.

More inventory tracking capabilities
In the inventory management software smartphones can be used for much more than barcode scanning. You can use smartphones for the data entry, stock and info lookup, taking photos, collecting signatures, capturing GPS location, creating and e-mailing pdf receipts, and more.

Advantages of using a barcode scanner for inventory management

Fast inventory scanning
Scanning inventory using a hand held barcode scanner is faster than doing it with a mobile phone camera. You won't see much of a difference if as a rule you have just several items to scan at a time. However for the high volume transactions a gain in the processing speed will be significant.

Inventory scanning reliability
Barcode scanners can scan inventory more reliably in the poorly lit areas, although it does depend on a specific model of a scanner or a smartphone. Barcode scanners are also more focused than a mobile phone camera. If you have several barcodes close together you will have no problems scanning a specific barcode with a scanner. For scanning with a smartphone camera you will need to cover all barcodes except the one you want to scan.

Barcode scanner works with more 1D barcode types
There are certain types of 1D barcodes that cannot be read with a smartphone camera. Regular barcode scanners can usually read all barcode types.
Check how you can automate inventory management using a smartphone for barcode / QR code scanning.

Using A Barcode Scanner Connected To A Smartphone For Inventory Management

You can combine the pros of the mobile phones and barcode scanners by using barcode scanners that can connect to a smartphone via Bluetooth. With this setup, you are not bound to the office computers and can process inventory in the field. You can use barcode scanner for scanning and a smartphone for data entry, look up, and real time updates. Barcode scanner connected to a smartphone will allow you to process high volume transactions fast.

As always, you have several options here. You can purchase a barcode scanner that emulates keyboard (HID mode), and use it with any inventory management mobile app. The input from barcode scanner in HID mode goes into the active text field in the mobile app. It produces the same effect as if you would type this data in using a keyboard. This setup, however, takes away the main advantage of using the barcode scanner - a scanning speed. Instead of doing a continuous scanning in the mobile app you will need to get to the input field and put it in focus before each scan.

A better option will be to use an inventory management mobile app which is integrated with a barcode scanner. This setup will allow you to do continuous scanning with no interruptions. On the flip side, you will need to purchase a specific barcode scanner with which your chosen barcode inventory software is integrated.

Check how you can use bluetooth barcode scanners and smartphones for inventory management.

Barcode Inventory Software: Takeaways

A barcode inventory software is a valuable tool for businesses of all sizes. It helps companies efficiently manage their inventory, reduce costs, and improve workforce performance.

A barcode inventory management software has evolved from the desktop computer systems connected to a barcode scanner to the cloud software with the mobile app used for barcode scanning. Modern barcode inventory systems are much more beneficial, providing all software users real time updates and data access.

If you want to manage inventory with barcode scanning you have a choice of the equipment. You can use more traditional equipment, such as a hand held barcode scanner or a mobile computer. A better option could be to use a smartphone with a barcode scanning mobile app. Smartphones would work better in most cases. If you are using mobile phones for barcode scanning you do not need to purchase specialized scanning equipment. Company employees can use their own smartphones to manage inventory. Using own smartphones not only saves you money, but also makes it easier for the company employees to learn the new software system.

However, if you need to process high volume transactions fast, barcode inventory software that uses regular scanners may work better for you.

If you need to process high volume inventory transactions in the field or away from the office, a smartphone with a connected barcode scanner is your best option. In this case you may want to choose inventory software which is directly integrated with a barcode scanner, rather than using a keyboard emulator. Check with the application vendor which scanners are compatible with the barcode inventory software you plan to use.

Take Assets And Inventory Under Control With These Software Products

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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.    Learn More >>

QR Inventory and QR Mobile Data are brand names of inventory management and mobile forms software by AHG -- a provider of mobile and cloud-based applications for business. Our unified mobile platform improves business operations efficiency by eliminating manual tasks and physical paperwork, while providing a secure cloud storage for the business records, real time access to business data for all stakeholders, comprehensive data reporting and analytics. Headquartered in beautiful Boise, Idaho, AHG software is used to manage hundreds of millions of dollars annually in inventory and assets.

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