Inventory management is a science primarily about specifying the shape and percentage of stocked goods. It is required at different locations within a facility or within many locations of a supply network to precede the regular and planned course of production and stock of materials.<br><br>Entry of sales information. Most systems allow you to enter inventory codes either manually or automatically via a bar-code scanner. Once the inventory code is entered, the systems call up the standard or sales price, compute the price at multiple quantities and provide a running total. Many systems make it easy to enter sales manually when needed by letting you search for inventory codes based on a partial merchandise number, description, manufacturing code or vendor.<img class='alignleft' style='float:left;margin-right:10px;' src='http://wikiedu.org/wp-content/uploads/2014/12/SamanthaEricksonSQweb.png' width='264' alt='inventory management definition and meaning'/><br><br>Reporting capabilities available in POS programs include sales, costs, and profits by individual inventory items, by salesperson, or by category for the day, month and year to date. Special reports can include sales for each hour of the day for any time period. You <a href="http://www.confianzit.com/cit-blog/openerp-inventory-management-software/">OpenERP Inventory Management</a> can also create multiple formats for invoices, accounting statements and price tags. Additional reports include day-end cash reconciliation work sheets and inventory management. Examine a variety of POS packages to see which comes closest to meeting your needs.<br><br>Effective inventory management requires an understanding of the fundamental material management principles, data and work processes that impact material supply and contribute to the total cost of the MRO operation. It also involves the establishment of realistic and measurable goals, along with disciplined approaches for achieving them. Most importantly, it requires a commitment of <a href="http://www.confianzit.com/cit-blog/openerp-inventory-management-software/">open source inventory management software</a> time from knowledgeable individuals to make informed, intelligent and often difficult decisions.<br><br>Excess inventory - the quantity and associated dollar value of active, automatically replenished storeroom inventory that exceeds maximum projected inventory levels based on current ordering parameters; in simplest terms, it is the level of on-hand inventory above the maximum quantity.<br>