For successful running of a convenient store, it is crucial to have an efficient system to keep tabs on the stock. The system should be able to provide information on stock levels whenever required, to ensure the that store is not only restocked on time but the records are also accurate. The manual method of tracking sales essentially involves using cash registers with paper sales tickets and spreadsheets to manage the stock in the store. This means that in order for one to know the stock levels in the store, they have to go through all the receipts manually, record the data on a spreadsheet and do calculations. The process is not only tedious but is also prone to errors and could in turn lead to understocking or overstocking (Moncello, 2010). Moreover, if the store has employees, the manual system could be subject to manipulation and the employees could be able to skim off the top without the owner noticing. Therefore, the owner is likely to make less than they actually should. The database-driven tracking of sales through point of sale systems can easily solve these issues and provide real-time stock information that can be accessed from anywhere.
An example of a database-driven solution for tracking sales and inventory to the owner is the point of sale system. A point of sale system is responsible for handling all the transactions present in a store. The database of the system stores records of every item in the store and their quantity (Moncello, 2019). Whenever a customer, purchases a product the system takes note of the product and subtracts the quantity from the database. In this case, the system utilizes barcodes to record all the items present in the store. These barcodes can be read by barcode readers which are present at every counter in the store and once it reads the barcode in the item, information about the price of the item is made available on a screen and on payment for the item, the quantity of the item in the database is reduced by one (Nicasio, 2019). The point of sale system increases efficiency in the sense that there is no need to go through receipts and manually record the data on worksheets for book-keeping. This situation allows for availability of real-time data on the current stock in the store. Furthermore, the system can be set up in such a way that whenever the stocks reach a certain level the suppliers are contacted for restocking further increasing the efficiency of the system (Nicasio, 2019).
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A database-driven solution for tracking sales and inventory is bound to boost the accuracy of book-keeping. For instance, in a point of sale system, the system records all the transactions and updates its database in real-time. This reduces the chances of error as it eliminates manual recording of data as well as safeguards the store from unscrupulous employees (Nicasio, 2019). The system also allows for generation of daily, weekly, monthly and even yearly reports that are instrumental in guiding the business decisions for the store.
The shift to a database-driven solution of tracking sales and inventory for the store is necessary despite of the cost of implementation. In fact, with time, the solution will lead to increased accuracy and efficiency in the system and practically pay for itself. The system will eliminate any errors and allow for smooth operations especially when it comes to restocking. It is therefore a worthy investment for any retail store and will not only make work a lot easier but it will also reduce many other expenses that one would have incurred when running a store without it.
References
Monocello, M. (2010). Point of Sale Advantages: Top 10 Reasons POS Systems are Better Than Cash Registers -. Retrieved 19 December 2019, from https://pointofsale.com/top-ten-reasons-point-of-sale-systems-are-better-than-cash-registers/
Nicasio, F. (2019). Why You Should Choose a Complete Point of Sale System for Your Retail Business - Vend Retail Blog. Retrieved 19 December 2019, from https://www.vendhq.com/blog/complete-pos-system/
