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Inventory software refers to business applications that are designed to track and manage product sales, material purchases, delivery of goods and other common production processes. Inventory software helps businesses bring in the materials they need to produce a finished product for customers. Inventory software programs often use bar codes or other identifier tracking systems to give a complete accounting of the shipping and storage segments of the production process.
Inventory-tracking software allows a company to see when a shipment of material comes in, how long it stays at each stage of production, how quickly the end product leaves the warehouse and where it goes. Inventory software is a general term in the sense that it can refer to the specific software of a particular warehouse or the software that monitors the entire supply chain and sales side of the business. Businesses use inventory tracking software to reduce the effort put into basic tracking, thus freeing up time to analyze and improve overall processes.