Self-scan Inventory Part 1: What is it?

Clerk performing self-scan inventory using a handheld scanner.

This is the first part of this 3-part series on self-scan inventory:

• Self-Scan Inventory Part 1: What is it?
• Self-Scan Inventory Part 2: Who are they and what benefits they offer?
• Self-Scan Inventory Part 3: Is it really worth your money?

The rise of inventory providers
Back in the days when computers and data collection equipment are foreign to retail inventory operations, the de facto method of gathering data in physical inventory was the paper and pencil or manual data collection. Retail stores use their employees to perform this method. It was simple, and cost-effective. But it was tedious, time consuming, and became impractical when it applies to medium to large scale physical inventories.

When barcode scanning became the accepted data collection method for retail inventories, it replaces the old system. Because it is a lot more efficient. It can handle complex data and use to perform large scale inventories. It is fast, more accurate, and reliable. But there is always a price to make: capital investment. Retail owners have to invest in inventory equipment, inventory software management, and computer systems that run them not mentioning the cost of maintaining those systems and the crew to use them.

Because of the problem of cost, companies that have the expertise and capital to address those issues have come up to provide solutions to the nitty gritty and complexities of conducting physical inventories. They perform efficient, fast, and reliable data collection services to retail companies using the latest technology available in the market. Retailers are no longer have to spend on expensive systems or worry about inventory procedures, and training for inventory crew because these solutions providers perform everything for a fee.

Retail owners agree on the many benefits of hiring an inventory professional service. Now, there are more than 2,000 professional inventory providers with varying sizes accross the United States alone.

However, while many of them seemed to agree that it can be cost efficient in short term period, but how about the long term period? When one is to analyze the cost of hiring pros in a long term basis, say 10 years, and compute all those fees paid including other associated expenses, they will find out that purchasing inventory equipment and computer systems have comparable cost against hiring the pros.
So again, retailers are faced with more questions, should I hire or should I buy? Is there any other way to cut inventory cost and remains to have efficient physical count?

I think there is another possible solution to both of these questions which attracts thousands of small to medium retail owners. This solution is what we call self-scan inventory. If you are a small retail owner, new in the business, or maintains small to medium retail chain, and never have tried to contract a self-scan inventory provider, this segment maybe good for you or at least provide you with basic essentials.


What is Self-scan inventory

Image: Michal Marcol / FreeDigitalPhotos.net

It is an inventory method where store people AND rented inventory system collaborate to perform physical count. The logic and procedure behind this method is very simple: Simply rent the inventory equipment, and use your most valuable asset - your own employees - to perform inventory. Self-scan inventory providers have equipment rental service where they provide ready to use inventory equipment, procedures, and a responsive customer service to handle all questions and issues.

Another good thing about this is that you have total control of the system from the initial until the closing of your inventory resulting to a better accuracy, cost effective, and time-saving process. Self-scan inventory maximizes the efficiency and availability of your own employees. They know the locations and nature of  your inventories better than any third party provider could. One more thing, since your stores are your employees' responsibility, they feel compelled to keep your stores clean and organized during and after inventory.

In my next segment, I will talk about more on the benefits of self-scan inventory, which companies that provide these services, and why you should or should not consider them.


Related Posts:

• 6 good reasons to hire a professional inventory service and 3 good reasons to be precautious Part 2
• Voice activated inventory, Unique or Obsolete?
• The best barcode scanners for mobile