ISSN (Online) 2581-9429

IJARSCT
International Journal of Advanced Research in Science, Communication and Technology (IJARSCT)
International Open-Access, Double-Blind, Peer-Reviewed, Refereed, Multidisciplinary Online Journal
Impact Factor: 7.53 Volume 4, Issue 4, May 2024

Inventory Management System

Prof. Bhagyashrii Karmarkar1, Sahil S. Nimsatkar2, Aditya Sadamwar3,
Anamika R. Pimpalshende4, Chaitali S. Matte5
Department of Computer Science Engineering1-5
Rajiv Gandhi College of Engineering Research and Technology, Chandrapur, Maharashtra, India

Abstract: For organizations that handle transactions involving consumer goods, an inventory management
system is critical for quality control. A huge retail store could run out of supply of a critical item if
inventory is not properly managed. When it’s time to reorder, an effective inventory management system
will notify the retailer. This inventory management system is also useful for tracking huge shipments
automatically. Counting each pair of stocks by hand will almost certainly result in a mistake. The risk of
human error can be reduced by using an automated inventory management system. An Inventory
Management System also aids in the tracking of retail product theft, providing useful information regarding
store revenues and the need for theft-prevention devices. Scanning a barcode on the item or a barcode
scanner is how Automated Inventory Management Systems function. The central computer system then
keeps track of this data. The purchase order can also include a list of items that need to be pulled for
packaging and shipping. In this situation, the Inventory Management System can perform a range of tasks.
It can assist a warehouse worker in locating things on an order list, encoding shipment information such as
tracking numbers and delivery addresses and removing purchased items from the inventory tally to
maintain a correct count of in-stock items. All of this information works together to give firms real-time
inventory tracking data. The simple search in a database makes it easy to find and look at inventory
information in real-time.The inventory management system project abstract tells the overall function of the
software. It consists of the reason why the project was proposed and the solutions made to answer the needs
of the targeted users. To enlighten you with this, here’s the Inventory Management System Project Abstract

Keywords: Inventory control, Stock management, Asset tracking, Barcode scanning, Warehouse
management, purchase order

I. INTRODUCTION
Inventory management systems are central to how companies track and control inventories. Having the ability to
measure inventory in a timely and accurate manner is critical for having uninterrupted business operations because
inventory is often one of the largest current assets on a company's balance sheet. Two inventory management systems
exist: perpetual system and periodic system. Each system has its pros and cons, and companies may choose based on
their own needs for inventory control and available company resources. The perpetual system uses a permanent
inventory account to track inventory purchases and uses. When a company buys inventories during a business cycle, the
purchase directly increases the balance of the inventory account. Conversely, when a company sells goods from
existing inventories, the sale directly decreases the balance of the inventory account. Under the perpetual inventory
system, companies are able to maintain a continuous record of changes in inventory and thus, have up-to-date
information about their inventory holdings at any point in time. An inventory management system is a software solution
used by businesses to track, manage, and optimize their inventory levels efficiently. It helps businesses keep track of
their stock levels, orders, sales, and deliveries. The system typically includes features such as barcode scanning, real-
time inventory tracking, order management, forecasting, and reporting tools. By implementing an inventory
management system, businesses can streamline their operations, reduce carrying costs, prevent stockouts, improve
order accuracy, and enhance overall efficiency. An inventory management system is a comprehensive solution designed
to efficiently oversee and control all aspects of a company's inventory. It encompasses a range of processes and tools
aimed at effectively managing the flow of goods, from procurement to storage, distribution, and ultimately, sales. The
inventory issue refers to the general issue of deciding how much inventory to keep on hand in expectation of possible
Copyright to IJARSCT DOI: 10.48175/IJARSCT-18364 632
www.ijarsct.co.in
 ISSN (Online) 2581-9429
IJARSCT
International Journal of Advanced Research in Science, Communication and Technology (IJARSCT)
International Open-Access, Double-Blind, Peer-Reviewed, Refereed, Multidisciplinary Online Journal
Impact Factor: 7.53 Volume 4, Issue 4, May 2024

demand. Loss occurs when a business is unable to meet demand (for example, when a store loses sales or when soldiers
in a war run out of ammunition) or when commodities are stocked for which there is no demand. An Inventory
Management System also aids in the tracking of retail product theft, providing useful information regarding store
revenues and the need for theft-prevention devices. Scanning a barcode on the item or a barcode scanner is how
Automated Inventory Management Systems function. The central computer system then keeps track of this data. The
purchase order can also include a list of items that need to be pulled for packaging and shipping. In this situation, the
Inventory Management System can perform a range of tasks. It can assist a warehouse worker in locating things on an
order list, encoding shipment information such as tracking numbers and delivery addresses and removing purchased
items from the inventory tally to maintain a correct count of in-stock items. All of this information works together to
give firms real-time inventory tracking data. The simple search in a database makes it easy to find and look at inventory
information in real-time.

II. LITERATURE REVIEW

Inventory management is a critical aspect of business operations, particularly for companies involved in manufacturing,
distribution, and retailing. Effective inventory management ensures that businesses can meet customer demand,
minimize holding costs, and optimize their supply chain processes. In recent years, with advancements in technology,
there has been a significant shift towards the adoption of digital inventory management systems to streamline
operations and enhance efficiency. This literature review aims to explore key concepts, theories, and technologies
related to inventory management systems.

III. METHODOLOGY
An inventory management system methodology typically involves several key steps:
 Assessment: Understand the current inventory management processes, including the systems and tools in
place, and identify areas for improvement.
 Requirements Gathering: Gather requirements from stakeholders to determine what functionalities and
features the inventory management system needs to have.
 System Design: Design the architecture and framework of the inventory management system, including
database design, user interface design, and integration with other systems if applicable.
 Development: Develop the inventory management system according to the design specifications, using
appropriate programming languages and technologies.
 Testing: Conduct thorough testing of the system to ensure that it meets the requirements and functions as
expected. This may include unit testing, integration testing, and user acceptance testing.
 Implementation: Roll out the inventory management system to users, providing training and support as needed.
This may involve migrating data from legacy systems to the new system.
 Monitoring and Maintenance: Continuously monitor the performance of the inventory management system and
address any issues or bugs that arise. Regular maintenance may also be required to keep the system up to date
and secure.
 Optimization: Periodically review and optimize the inventory management system to improve efficiency,
accuracy, and user satisfaction. This may involve making adjustments based on feedback from users and
changes in business requirements.
Throughout the process, it's important to involve key stakeholders, including inventory managers, warehouse staff, IT
professionals, and end-users, to ensure that the inventory management system meets their needs and expectations.
Additionally, considering factors such as scalability, security, and compliance with industry regulations is essential for
the success of the system.

Copyright to IJARSCT DOI: 10.48175/IJARSCT-18364 633

www.ijarsct.co.in
 ISSN (Online) 2581-9429
IJARSCT
International Journal of Advanced Research in Science,, Communication and Technology (IJARSCT)
International Open-Access,
Access, Double-Blind,
Double Peer-Reviewed, Refereed, Multidisciplinary Online Journal
Impact Factor: 7.53 Volume 4, Issue 4, May 2024

IV. OUTPUT

Copyright to IJARSCT DOI: 10.48175/IJARSCT-18364 634

www.ijarsct.co.in
 ISSN (Online) 2581-9429
IJARSCT
International Journal of Advanced Research in Science,, Communication and Technology (IJARSCT)
International Open-Access,
Access, Double-Blind,
Double Peer-Reviewed, Refereed, Multidisciplinary Online Journal
Impact Factor: 7.53 Volume 4, Issue 4, May 2024

Copyright to IJARSCT DOI: 10.48175/IJARSCT-18364 635

www.ijarsct.co.in
 ISSN (Online) 2581-9429
IJARSCT
International Journal of Advanced Research in Science, Communication and Technology (IJARSCT)
International Open-Access, Double-Blind, Peer-Reviewed, Refereed, Multidisciplinary Online Journal
Impact Factor: 7.53 Volume 4, Issue 4, May 2024

V. WORKING
The Inventory Management System typically involves the following steps :
Step 1: Item classification. Each item in your inventory holding needs to be broken down into manageable categories
like obsolete, excess, and working stock
Step 2: Safety Stock
Step 3: Forecasts and ordering
Step 4: Leverage your resources
Step 5: Action plans
Step 6: Technology and tools

VI. CONCLUSION
In conclusion, inventory management systems play a crucial role in optimizing the flow of goods throughout the supply
chain, ensuring that businesses maintain the right levels of inventory to meet customer demand while minimizing costs
and maximizing efficiency. By leveraging technology, data analytics, and best practices, these systems help businesses
achieve various objectives such as improving customer service, reducing costs, enhancing operational efficiency, and
ensuring compliance with regulatory requirements.

VII. RESULT
Improved processes and efficiency (doing more with fewer resources) Reduced costs from efficiency gains and better
inventory management. Better customer service for increased customer retention and revenue. Improved accuracy
resulting in less re-work and better decision making.

REFERENCES
[1]. Lesonsky, Rieva (1998). "Tracking Inventory". Entrepreneur Magazine.
[2]. Dolinsky, Anton. "Inventory Management History Part Four". Almyta Systems. Retrieved August 17, 2010.
[3]. Polsson, Ken. "Chronology of Personal Computers – 1981". Polsson'sWebWorld. Retrieved August 17, 2010.
[4]. Piasecki, Dave. "Optimizing Economic Order Quantity – Carrying Costs". Inventoryops.com. Retrieved
August 17, 2010.
[5]. "EASI! Enterprise Architecture for Seamless Integration". Proceedings of the 15th International Conference on
Enterprise Information Systems. SciTePress - Science and Technology Publications. 2013.
doi:10.5220/0004410702310235.
[6]. "Amazon Australia opens - but limited goods ship to New Zealand". 4 December 2017.

Copyright to IJARSCT DOI: 10.48175/IJARSCT-18364 636

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