How is barcoding used in inventory management?

Barcode technology has been around for a long time, and one of the most popular ways that it is used is for inventory control. In modern systems, it is possible to have an internal inventory system where everything in a facility has its own barcode assigned so that it can be scanned and tracked. Every facility will have its own specific ways that it is used, but in general, the ability to quickly scan items provides an excellent baseline for managing inventory.

One of the best-known ways that barcodes are used for inventory management is within retail locations such as grocery stores. While these barcodes are visibly used at checkout to generate the price of the items for payment, they are simultaneously tracking inventory. After each barcode is scanned, the inventory management system updates to show that there is one less of the given item at that location. When the software determines that the inventory for a set item has reached the defined point, an order for more can be placed. When new inventory arrives, the barcode for each of them is scanned into the system so it knows how much of each item is available.

Inventory management systems are also used in a variety of other facilities. For example, in manufacturing it is often necessary to track the various levels of parts that are used in the production process. A computer system can scan the barcode as it is used so that it knows how much is available. Another common example is in the shipping and warehousing industries. Packages are assigned a barcode when they arrive and scanned automatically as they travel through the facility. Not only does this help with inventory management, but it can also help to route packages to the location where they need to go.

Barcoding technology is one of the most commonly used, and often least appreciated when it comes to helping industries operate efficiently. Whether it is the standard barcode style, or something newer like QR codes, this technology can help to improve inventory control in virtually any environment.