Running a successful agribusiness is not easy. To achieve profitable and successful production, farmers have to be skilled in various aspects of farm management. In other words, they have to be successful managers, accountants, consultants, and scientists who are very good at performing all types of field activities. Luckily, we live in the era of modern agriculture in which farmers can rely on smart AgTech solutions to keep accurate records and manage their farm operations. Despite advancements made in AgTech software, one thing can significantly determine the success of crop management and farm operations – that’s inventory management.
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What is Inventory Management In Farm Management Software
Inventory – in simple words it means keeping inventory levels, raw materials and other products accounted for and in stock. For example, agricultural inventory, includes various fertilizers, pesticides, fuel, or seeds that farmers use in their production.
Although it doesn’t sound like a big deal, healthy farm inventory management is one of the most important habits of a successful small business. Multiple aspects of agricultural production are closely related to inventory management. These are activity planning and execution, activity record keeping, ensuring complete production traceability, and planning seasonal budget.
Poor Inventory Management Leads to Cash Flop
Occupied with their daily field operations, farmers often forget that healthy inventory management is a very important aspect of their production. The consequences of poor inventory management can be significant to both farm productivity and profitability. The most common example of how inventory management impacts the success of crop production is at the time of crop sowing.
Every farmer knows that most crops, especially arable, need to be sown or planted at a specific time of the year. In order to provide the best conditions for crop growth, sowing needs to be performed during that specific period. If growers start sowing wheat and then suddenly realize that they are running low on seed stock, they need to pause sowing and make the purchase. Meanwhile, certain unfavorable conditions may occur. There is a huge possibility of a rain period and lower temperatures that can greatly impact the germination as well as the final yield.
Another common example of poor inventory management is during the harvest period. Without insight into the real-time inventory stock levels, farmers can’t prepare an adequate quantity of bags, boxes, or pallets for fruit storage during the harvest. The time needed to make a purchase of stocks prolongs the time of harvest, thus affecting the fruit quality and final yield.
These two examples mentioned above are just a drop in the ocean of similar situations of improper farm inventory management.
Still Don’t Have a Suitable Inventory Management Software?
Growing crops means that there are certain farm activities constantly in progress. However, many of them require tracking inventory stock levels. In other words, farmers have to be completely prepared for each activity. Otherwise, every lack of stock may lead to an additional delay in performing activities. Having the inventory software system capable of automation goes a long way in ensuring that doesn’t happen.
Easily Manage Your Inventory With AGRIVI
AGRIVI is a state-of-the-art farm management platform revered in the agriculture industry. Its core features include an inventory management system capable of managing multiple warehouses in different locations and having real-time insight into every product on stock. To avoid the lack of stock and a supply chain disruption or additional production delays which impact crop yield, there is a possibility of setting alarms. These will notify farmers once the stock reaches a specific low value. By using AGRIVI, farmers can get two most important values for successful management of their farm production:
- Instant inventory overview of all items currently in stock, with a single click.
- Set inventory alarms for all the key products that have to be available at any moment and by doing so, avoid running out of stock.
Whether you have a small or big farm production, with AGRIVI you can now manage your inventory much easier in a user-friendly way. Read all about managing your farm inventory with AGRIVI or contact us for a DEMO.
