Running the work
Inventory and materials
Do you need inventory software, and should it track retail stock, job materials or both?
Six short steps. No email or account.
- Who needs it
- Trades carrying parts, retailers, and anyone whose material cost is a large share of a job.
- When it matters
- Once stock-outs cost you a return visit, or materials become a meaningful cost line.
- Compare first
- Van and multi-location stock
- Matters most when
- growing, mature
Is this the right tool for you?
Stock and materials are cash sitting on shelves and trucks. Without a clear count you run out of what sells, overbuy what does not, and cannot say what a job or a product actually cost. Year-end counts become a scramble and shrinkage goes unnoticed.
Signs you need it now
- You find out you are out of stock when a customer or crew asks for it.
- You reorder based on a look around the shelf rather than sales or usage.
- Materials used on jobs are not charged to those jobs.
- Counts in your records rarely match what is actually on hand.
- You sell in more than one place and stock levels get out of step.
When another area fits better
- You run a shop and mainly need to ring up sales, with stock counts as part of that. Read the point of sale guide
- Your materials are used on customer jobs and you need them tied to scheduling and invoicing. Read the job and crew management guide
Recognise two or more of these? Sort out inventory and materials next.
Tell us how your business runs and get a plan that puts inventory and materials in order with everything else: what to set up first, your must-haves and what to compare.
What matters at your size
Working alone
The inventory in your point-of-sale, job or accounting tool is often enough. Keep counts current and set reorder points for your key items.
A small team
Reorder alerts, purchase orders, barcode scanning and stock that syncs across your shop, online store and accounting.
Several teams or locations
Several locations or warehouses, trucks as stock locations, lot or serial tracking, costing methods agreed with your accountant, and demand-based reordering.
How the way you work changes the choice
- Retail shops and online sellers
- Stock is what you sell. Inventory tied to your point-of-sale and online store keeps counts accurate across channels.
- Trades carrying stock on trucks
- Parts and materials move from supplier to warehouse to truck to job. Look for truck stock, usage recorded on the job and restocking lists.
- Small manufacturers and makers
- Raw materials become finished goods. You need assemblies or recipes, so using a finished item draws down its components.
What to compare
Van and multi-location stock
Trades need stock per vehicle, not just per warehouse.
Job linkage
Materials consumed should land on the job for accurate costing.
Accounting method
Inventory accounting has tax consequences. Confirm your accountant agrees with the approach.
Cost and setup effort
- Basic inventory is often included in point-of-sale, job management or accounting tools. Dedicated inventory systems are usually priced per location, user or order volume.
- Setup is a full count, item names and codes, and costs. Barcode labels and a regular counting routine keep it accurate afterward.
Trade-offs to weigh
- Built in or dedicated
- Inventory inside your sales or job tool is simpler and stays in sync. A dedicated system handles multiple locations, purchasing and manufacturing better.
- Tracking everything or what matters
- Tracking every screw costs more time than it saves. Track high-value and fast-moving items closely and treat small consumables as a job cost.
- Inventory and your accounts
- How stock is valued affects your profit and taxes. Agree the costing method with your accountant before you choose a tool.
When to sort it out
Once stock-outs cost you a return visit, or materials become a meaningful cost line.
Your next step
Answer six short questions about how your business runs. You get an operating plan: where inventory and materials fits among your priorities, the must-haves to hold every option to, and what to compare when you choose.
Where this comes first
Trades and businesses that usually sort this out early.
Often decided alongside
Other parts of running the work.