How does Perpetual Inventory System work

The Perpetual Inventory System’s major objective is to give real-time data useful for departments using the number of products. To simplify, it has 3 minimum components: the purchasing system, the inventory system, and the point of sale/item release. This article will illustrate how the data flows in a perpetual inventory system to show the user’s capability. Use Case Diagram will illustrate each system module.

Product Manager

Product Manager

This module allows the user to define the products and their variations. All the defined products will be ready for stocking.

Purchase Manager

Purchase Manager

This module allows the user to manage the purchase and delivery. The delivered product is automatically reflected in the inventory.

Inventory Manager

Inventory Manager

This module allows the user to maintain the inventory data. The quantity figures must always be dependable by the releasing decision-makers.

Point of Sale/Item Release

Point of Sale/Item Release

This module is where the cashier or releasing staff transact the item(s). All the released items will be deducted from the inventory.

The generation of inventory reports will be as easy as these modules work in harmony. The quality of user inputs is also critical when it comes to system reliability. When all the transactions are recorded in the system, data integrity and traceability will be guaranteed. Expansion to integrate more systems is possible as long as it brings quality to data or purpose to the minimum modules.

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