An inventory control system is one that encompasses all aspects of managing a company’s inventories, including:
- Purchasing;
- Shipping;
- Receiving;
- Tracking;
- Warehousing and storage;
- Turnover; and
- Re-ordering.
It is a process for managing and locating objects or materials.
Today, inventory systems will often rely on Barcodes and Radio Frequency Identification (RFID) tags to provide the automatic identification of inventory.
The system will use either the Barcode or RFID tag to record a transaction and, if done correctly, ensure that the location of each piece of inventory is known at all times.