[et_pb_section fb_built=”1″ admin_label=”section” _builder_version=”4.16″ global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_row admin_label=”row” _builder_version=”4.16″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” width=”auto” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_column type=”4_4″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||” theme_builder_area=”post_content”][et_pb_text ul_item_indent=”30px” admin_label=”Text” _builder_version=”4.22.2″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}” theme_builder_area=”post_content”]In this article, we’ll dive deep into the world of inventory serial number tracking, shedding light on its importance in modern warehousing and supply chain management. By the end of your read, you’ll understand the benefits of serial number tracking, its role in ensuring product authenticity, and how it can significantly enhance inventory accuracy and accountability.<\/p>\n
Key Takeaways:<\/strong><\/p>\n Inventory serial number tracking is a must-have feature of any warehouse inventory management system<\/a> (WMS) or 3PL Software<\/a>. As supply chains stretch around the world and manufacturers face stricter regulations both domestically and internationally, the practice of tracking serial numbers has begun to extend beyond industries like automaking and electronics.<\/p>\n <\/p>\n Tracking serial numbers sounds similar to tracking stock keeping units (SKU) numbers, but there is an important difference.<\/p>\n SKUs track specific items and help retailers control the quantity of a product. For example, every pair of blue, bootcut jeans in size 10 would have the same SKU number<\/a>.<\/p>\n On the other hand, serial numbers track each individual item, even when they\u2019re seemingly similar. This means that every iPod, every DNA kit, or every automobile part carries its own unique sequence of digits.<\/p>\n Serial numbers give manufacturers a way to protect themselves against knock-offs. They also help retailers<\/a> reference warranty terms and track stolen products. A stolen phone can be blacklisted by the carrier and rendered useless to the thief if the victim has the phone\u2019s IMEI number on hand.<\/p>\n The bottom line: Serial numbers are incredibly important for supply chains. This importance is further magnified when you consider the size of the cross-border eCommerce<\/a> industry.<\/p>\n By 2021, more than 2.14 billion people will buy goods and services online. As the eCommerce industry continues to boom, serial numbers will provide an essential way of maintaining visibility over products, tracking stolen goods, and referencing warranty and other post-sale service information.<\/p>\n In this post we\u2019ll cover:<\/p>\n A serial number is created by the manufacturer of a product. The goal is to make sure every item\u2019s history is identifiable while it travels through the supply chain and between end users.<\/p>\n If all manufacturers practiced vertical integration (the business practice of controlling all steps in the supply chain such as distribution and retailing) then this would be a relatively straightforward process. All divisions would use the same systems and the item\u2019s serial number would be captured at each stage.<\/p>\n In reality, most companies don\u2019t pursue vertical integration. While it can be incredibly valuable, vertical integration is challenging to execute and difficult to reverse. Instead, most companies work with upstream and downstream supply chain partners to derive value from their products.<\/p>\n Consequently, each partner (e.g., distributors&wholesaler<\/a>, warehousing facilities, retailers) needs systems in place to accurately record serial numbers. This ensures that they can manage costly events like a recall while limiting the exposure to their business.<\/p>\n Inventory serial number tracking takes time (which costs money), so it\u2019s in a warehouse manager\u2019s best interests to streamline the process. There are a few ways that warehouses can set up inventory serial number tracking within their warehouse management systems.<\/p>\n Tracking serial numbers upon receipt and upon shipment helps you keep a tightly controlled warehouse and determine exactly when individual items entered and exited your warehouse.<\/p>\n In your inventory management system<\/a>, you can set custom tracking settings by navigating to your inventory serial number tracking tab, which could be called \u201cSerial Number,\u201d \u201cSerial Number Information,\u201d or \u201cCreate Serial Number,\u201d depending on your service provider.<\/p>\n You would uncheck the boxes \u201cskip during receipt\u201d and \u201cskip for issue,\u201d or you would check \u201crecord during receipt\u201d or \u201crecord for issue,\u201d depending on the language of your WMS.<\/p>\n When you are creating the serial number, you\u2019ll need to ensure that the serial number doesn\u2019t match or replace any of the following entities:<\/p>\n In this method, you would follow all of the previous steps, but check \u201cskip during receipt\u201d or uncheck \u201crecord during receipt.\u201d With this option, you would only have visibility over when an individual item left your warehouse and where it went, but not when it entered your warehouse.<\/p>\n For warehouses with limited resources, tracking only upon shipment is an ideal option. Within the facility, most warehouse managers are only concerned with item codes, since inventory management is their biggest concern.<\/p>\n Tracking the serial number is important when it comes to a black swan event like a massive recall. If a warehouse needs to be reimbursed for a recall, it\u2019s easier to determine what\u2019s owed when it\u2019s been captured by your software.<\/p>\n That said, if they only track upon shipment, that warehouse manager will only have information on the recalled items they\u2019ve shipped. If a recalled item is still in their inventory, and they didn\u2019t track the serial number upon receipt, they\u2019ll need to manually find those individual items.<\/p>\n It is also possible to print serial numbers on the packing slips<\/a> to facilitate tracking process.<\/p>\n Warehouse managers also have the option of uploading multiple serial numbers from a spreadsheet.<\/p>\n The goal for most warehouses is to eliminate as many manual processes as possible. This is why supply chain managers and warehouse managers use barcode scanners.<\/p>\n Those who still rely on manual processes, like Excel spreadsheets, either struggle to capture inventory serial number data on a consistent basis or don\u2019t capture it at all.<\/p>\n Most warehouse management solutions today support barcode scanning<\/a> of serial numbers. Workers can scan items as they arrive at the dock and their serial numbers are automatically uploaded into the system.<\/p>\n The same idea applies to the outbound process. Items are scanned during packing or loading so the inventory serial number capture occurs at the shipping stage as well.<\/p>\n Barcode<\/a> scanning is a significant improvement over manual pen-and-paper methods, but it can still be time- and labor-intensive when you consider all the steps involved at receiving and shipping.<\/p>\n For instance, receiving is one stage where proper tracking and documentation is essential. Since products are changing hands, there\u2019s a shift in legal responsibility.<\/p>\n If your incoming goods are not properly tracked, documented, and accounted for, your warehouse business could take on the liability of damaged or missing items. Theoretically, you\u2019d need someone with a barcode scanner during several of these receiving steps:<\/p>\n Ideally, barcode scanners would be performing inventory serial number tracking at the identification, counting(Barcode scanners can be used during cycle counting<\/a> as well) , and documenting stages.<\/p>\n To streamline the receiving process even further, some warehouse managers have turned to RFID tags. The cost of RFID has been falling for years, making its benefits more accessible to a wider group of supply chain businesses. The benefits of RFID<\/a> include:<\/p>\n RFID tags are particularly useful at the counting stage. Opening each package and checking each box takes up significant time for warehouse workers and increases the business\u2019s labor costs. With RFID tags on each item, RFID scanners can count all the items in a shipment and cross-reference them against the purchase order<\/a>.<\/p>\n These RFID tags are also capable of storing serial number data.<\/p>\n\n
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How Are Serial Numbers Created, Recorded, and Tracked Within the Supply Chain?<\/h2>\n
How they\u2019re tracked within your WMS system<\/h2>\n
Inventory Serial Number Tracking Within a Warehouse Management System<\/h3>\n
Track Serial Numbers Upon Receipt and Upon Shipment<\/h3>\n
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Track Serial Numbers Only On Shipment<\/h3>\n
Import Multiple Serial Numbers Using Excel<\/h3>\n
Streamlining the Process of Capturing Serial Number Data<\/h2>\n
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