Business owners today are reliant on technology and systems that would help them run their business efficiently. One of these systems is called a Point of Sale System or POS. Business owners have grown dependent on POS systems because it enables them to track sales efficiently and do other stuff like inventory tracking and bookkeeping.
But before the existence of point of sales systems and other business technologies, businesses were able to survive without them. Can businesses today survive without POS systems? They could or could not survive without any technological systems, but allow me to point out several factors as to why they wouldn’t.
1.) Businesses are dependent on POS systemswhen it comes to doing quick records and updates of sales and other transactions. Right now, retail stores and other businesses need the automated process of recording sales and other financial transactions to maintain efficient operations. This is an important factor because of two reasons. First, the ability to record sales automatically removes the factor of human error, so the sales recorded and other transactions done are accurate. This protects the integrity of your business because it prevents you from losing money due to human errors. Second, it would speed up the sales and move from one sale to another. If you think about a giant retail store like Walmart, they would be packed to the brim with customers falling in line if they didn’t have a POS system.
2.) Businesses have to resort to manually doing stuff like inventory. POS systems remove the burden of manually doing tedious tasks like inventory. Once again, think about Walmart or any giant retail store. Without a POS system, they would have a hard time keeping up with their inventory, let alone look up if an item is on-hand or out of stock. Although bookkeeping is usually a manual process, accountants have become slowly reliant on POS systems that will help them with the bookkeeping because it removes the factor of human error. With a POS system, accountants are able to make entries without minimal error. It is also impossible, or rather difficult, to make erroneous adjustments to certain entries because POS systems with bookkeeping features are integrated into one database, meaning that it’s hard to falsify a journal if the sales or entries are not in the database.
3.) POS systems protect the integrity of the business. The main reason why the POS was conceptualized and improved is to prevent theft and human error. The former was something that business owners back then suffered on a daily basis, and the advent of a POS system prevented employees from stealing on the spot because it was able to track financial transactions accurately. Employees also had no access to the server, so they were only able to do data-entry processes, not edit them.
Whether you already have a POS system or thinking about buying them, it’s important to recognize these factors as to why your business cannot survive without a reliable POS system.