How to Integrate Barcode Scanning Software with an Inventory System

Most businesses know the pain of carrying too much or too little inventory, and every consumer knows the disappointment of finding products out of stock. Cutting the time it takes to capture and track inventory accurately improves both employee efficiency and customer experience.

Barcode scanning solutions are fundamental to how businesses address these challenges, by enabling real-time tracking of packages and goods. As employees scan barcodes, ERP data is updated with the information necessary to maintain an accurate and resilient picture of physical stock.

By enabling fast and accurate inventory tracking, effective use of barcode scanning helps overcome these issues plaguing businesses:

• Omnichannel sales shift how and where goods are purchased and fragment consumer demand. This makes it challenging to accurately track inventory across existing sourcing, storage, and distribution channels.
• Outdated inventory systems are labor-intensive and unable to keep up with rapidly changing supplies and consumer demands.
• Disconnected inventory systems between workers, managers, and customers create siloed and contradictory data between groups. These disconnects make it difficult to analyze data for order planning and fulfillment.
• Poor shopping experiences where customers can’t find what they want, when they want, whether shopping online or in-store.

Scandit’s barcode scanning solutions make it easy for retailers to link inventory to digital systems. With no-code, pre-built and fully customizable options, Scandit software turns any existing smart device into a key enabler of a connected barcode inventory system with industry-leading performance and accuracy.

This guide will help you integrate a barcode inventory system to gain the best value for your business.

If businesses don’t know their inventory, everything else falls apart. Scandit supports retailers in achieving up to 100% inventory accuracy, helping them to create a single, reliable source of truth, ensuring everyone can make confident decisions based on the same data.

Lyndal Moeller, Scandit Senior Industry Solutions Manager, Retail

Connecting your barcode scanning software to your backend ERP should be treated like any core business process. Integrating successfully means understanding your specific needs up-front and identifying the areas that will add the most value.

For example, when integrated with ERPs like SAP, IBM Sterling, and Oracle Store, Scandit software allows businesses to set up a barcode inventory system that answers questions such as these in real time:

1. How much inventory do I have?
2. How much am I currently selling?
3. Which items are most at risk of overstock or out-of-stock?
4. Where should I shift stock to meet local demand?
5. How can I ensure that items purchased online are truly available in-store at the time of order fulfillment?
6. How can I create a smarter markdown strategy?

The following six steps guide you through the barcode scanning integration process.

Step 1: Assess your current system

Identify what you want to achieve through barcode scanning integration. Is it to streamline retail operations, improve data accuracy, or reduce friction in your customer journey? Even if it’s all three, each goal should still be tangible and measurable.

To assess your requirements, it’s critical to understand the characteristics of your inventory. Different items may require unique barcode types and workflows. For example, perishable goods might need faster scanning to reduce handling time, or hazardous goods might require special procedures. Volume and throughput are also important, as any barcode scanning system must meet or exceed your performance requirements.

One way to know where to start is to ask your employees about their pain points with the current system. A 2024 survey by Scandit of 2,000 retail store associates identified scanning one barcode at a time, poor scanning performance, and scanning in low light as the top three scanning pain points.

If retail associates are constantly correcting inventory errors, improving data accuracy could be the primary goal. If managers find their teams are spending a lot of time scanning items individually, software like MatrixScan Count (pictured below) can help them read multiple barcodes simultaneously with improved accuracy.

Step 2: Prioritize your integrations

Capturing data for inventory management happens at multiple points in your business. From warehouse to brick-and-mortar store, you likely have countless integration opportunities to choose from. To help determine which path is worth prioritizing, you can assign clear KPIs to each opportunity and estimate the value of improvements.

For example, your analysis might show that stock checks may take several hours to complete and require staff to work overnight. Stock reordering may add time on top of that. By combining both operations into a single workflow in one mobile app, employee effort can be reduced – raising the value of integrating barcode scanning functionality to streamline these tasks first.

Similarly, if warehouse safety stocks are consistently inaccurate, it may make sense to prioritize implementing barcode scanning for cycle counting first to reduce the number of errors.

Step 3: Choose the right barcode scanner

Grasping the fundamentals of how barcode scanners work can be helpful to set the foundation for your implementation and help you make informed choices.

This detailed guide on choosing a barcode scanner then describes how to map your use cases to the features necessary to make barcode scanning effective. In addition to these criteria, successful deployment depends largely on user adoption, which in turn depends on user experience. If the barcode scanner is hard to use or inaccurate, your deployment is likely to fail.

Developers should also be cautious when considering open-source solutions. On its face, open source may appear budget-friendly, but it comes with many challenges that can add to significant costs over time: integration risks, lack of support and regular updates, and the absence of timely 24/7 support.

Step 4: Decide on the barcode system to use

The barcode types you need depend on your inventory management requirements. This includes the amount of data to track, the types of items, the scanning environments, and any existing barcode types in use. Many industries have standardized sets of barcode types – for example, almost all retail packaging except books and magazines uses EAN or UPC barcodes.

This guide on choosing the right barcode explains various barcode types and how to find the right ones for your business.

Step 5: Create an implementation plan

Success is best achieved through a phased implementation based on integration priorities. Most projects also start with a pilot program to test out deployment and incorporate user feedback before moving on to a larger rollout.

An implementation plan should contain the following components:

• Change management, where employees are trained on the new system and lessons learned are incorporated into every successive phase to continually improve how it operates.
• Data mapping that defines how physical barcode data is translated into formats understandable by your ERP and other back-end systems.
• Process updates that define procedures for applying labels, scanning items, and updating information in the ERP.
• Software development tasks to configure, customize, and deploy barcode scanning software in a controlled manner.
• Error-handing processes that account for known software issues and those that are impossible to predict. Backup systems are critical to have in place if anything goes wrong.
• Security processes to protect sensitive business and customer data.
• Maintenance plans that define when and how software will be updated. This should align with your company’s device roadmap to ensure barcode scanning software continues to run on newer devices.
• Documentation to help new users understand how the system works and reduce the impact of employee turnover.

Choosing the right barcode scanning software can make your implementation a significantly lighter lift. Intuitive scanning interfaces reduce the need for employee training and no-code apps or pre-built components reduce software development time.

An enterprise software provider will also offer enhanced security and privacy, regular software updates, and support with integration, rollout and day-to-day operations and maintenance.

Step 6: Build a test and validation plan

Testing and validating your barcode inventory system verifies that every element works as intended. Each type of test is instrumental in identifying issues that, if left unresolved, could lead to failures in real-world environments.

Unit tests examine how the barcode scanning software works on devices, and integration tests check how inventory management works as a whole.

The final step is user acceptance testing under real-world conditions. Subjecting the system to the unique workflows and choices of your user base is critical in minimizing issues down the road. Specific test categories are discussed below.

Scandit’s barcode scanning software provides a unified view of inventory, breaking down data silos between departments. With everyone sharing access to the same real-time information, fewer discrepancies exist between users’ screens and on-floor reality.

Scandit supports SAP, IBM Sterling, and Oracle Store out of the box and can be customized to work with any ERP vendor. Our SDKs and tools support all major device operating systems and development frameworks, including React Native, Native iOS, Native Android, JavaScript, Xamarin, Flutter, .NET (iOS and Android), Cordova, Capacitor, and Titanium, IBM MobileFirst, SAP Fiori and Oracle Xstore.

There are two approaches to integrate Scandit software with your ERP system:

1. No-code integration using Scandit Express: Enables the injection of scan data into any app on any device, with no need to change any software or do any coding.
2. Native/cross-platform SDKs and Web SDK: Turn smart devices into high-performance barcode scanners quickly from within your existing development environment. These SDKs offer pre-built components to deploy optimal user experiences fast and fully customizable software libraries to tailor features and experiences to your needs.

Scandit’s pre-built components provide different ways to improve your barcode scanning experience:

• SparkScan: Scan single barcodes with top performance and optimized user experience. Fits on top of any application without requiring redesign or customization, allowing users to point and scan effortlessly within minutes of installation. (Pictured below.)
• MatrixScan Find: Provides an AR interface so users can locate and scan multiple items simultaneously.
• MatrixScan Count: Allows users to count inventory and receive multiple items at once. It provides real-time feedback on scanning progress using an AR overlay.

Integration best practices

Scandit software is designed for extremely high performance, accuracy, and customizability. Here are four recommendations for integrating Scandit barcode scanning software with an ERP:

1. The Scandit Data Capture SDKs are highly customizable to suit your specific work environments and users (the pre-built components are customizable to a lesser extent). We recommend evaluating your sites and interviewing users to understand what customizations will best improve scanning speed and effectiveness. Our Enterprise-Level Success Team can partner with you to perform these activities.
2. Camera-based scanning requires workflows and user actions different from RFID and single-purpose scanners. This difference can make it easy to overthink your processes. To avoid inefficiencies or user errors, we recommend taking the time to understand how Scandit software works and how it transforms your current workflows. For example, MatrixScan products can capture multiple barcodes simultaneously, so users don’t have to get close to individual items to scan them individually.
3. Understand the available integration points between Scandit software, the containing application, and the ERP system to ensure fast data transfer between components with minimal resource load.
4. As Scandit software processes all barcodes on device for fast and secure data capture, there is no need for a direct connection or callback between the app and the ERP. To ensure minimal CPU and network overhead, we recommend caching barcode data on the device and performing callbacks to the ERP only when necessary. For instance, when stock counting, the app only needs to push relevant updates instead of full data sets.

You should set up your barcode inventory system to minimize the risk of inaccurate inventory counts and unhappy users. Examining all points of the scanning workflow between your app and ERP helps identify and address potential problems.

These steps help avoid common scanning pitfalls:

• Understand how scanning workflows improve efficiency and accuracy before making assumptions that can lead to suboptimal results. For example, smartphone-based barcode scanners mean users are likely familiar with how mobile app UIs work. They also mean users must aim their devices so barcodes are captured accurately.
• Customize the UI to make scanning easier for users. Simple controls and fast response times help them know what to do and assess the success or failure of their scans. For example, restricting the active scan area and providing audio feedback makes every scan operation clear.
• If the scanning software requires it, ensure devices have stable internet connections throughout your facilities. This isn’t necessary for Scandit software as all processing is performed on-device and works offline (although you’ll need connectivity to sync with an ERP).
• Test in real-world conditions to ensure scanning works at all your sites. Development teams often test the “ideal case” on developer devices and don’t account for varying lighting conditions, poor internet connectivity, partially damaged and obscured labels, and devices users actually have.

Successful barcode scanning software integration is not just about technical compatibility but about creating a seamless and intuitive experience that improves efficiency and data accuracy. This means developing and executing test cases in real-world situations to reduce the risk of features working in development and not in production.

When developing test cases, consider structuring them under five categories:

1. Functional compatibility that validates scan operations work as they should under different environmental conditions (lighting, label condition, network connectivity, etc.).
2. Data integrity to ensure accurate capture of all label information and synchronization between user applications and the ERP system. This includes error detection, logging, and handling duplicate or conflicting scan entries.
3. Performance testing that assesses system resilience to scenarios such as bulk scanning of many items within a short period of time, concurrent user operations across multiple devices, and peak load conditions during inventory counts or high-traffic periods.
4. Device compatibility that validates barcode scanning software works across all models and operating systems in your fleet.
5. Security and compliance to assess adherence to industry regulations and best practices.

No matter the time and effort spent on implementation, you won’t see barcode scanners making a difference if your workforce isn’t on board. Well-planned and executed training helps boost adoption rates and overcome knowledge gaps that lead to productivity issues.

Your training plan depends on how significant the technology and process changes are. If you’re moving from RFID scanning to barcodes, you may need to teach users how to position the device camera in view of the labels for accurate captures. If workers are used to counting items one by one for cycle counts, they may not be aware that they can capture multiple barcodes at once using solutions such as MatrixScan products.

Rather than leave users to trial and error, your training program should include:

• Basic functions that map to tasks, such as how to scan items, position items for optimal scanning, check inventory levels, update records, and generate reports.
• Real-world scenarios and challenges that employees may encounter, such as damaged or obscured labels, technical issues with the device and network, and customer questions.
• Advanced functions, such as customizing the user interface, to tailor the scanning experience to individual preferences.
• Constructive and timely feedback to help employees improve their workflows.
• Opportunities for employee feedback and a process to roll the appropriate items into future system improvements.

Planning and adhering to a maintenance schedule ensures that the barcode scanning system operates efficiently, safely, and securely.

The following maintenance practices help keep your barcode scanner in top shape:

• Update device hardware and software regularly so that the latest features, bug fixes, and security patches are always running.
• Implement a backup strategy to protect against data loss and system failure. These systems are especially important for critical periods when maintaining high uptime is essential.
• Track and document all changes to the system to guide future updates and maintenance procedures.
• Check the print quality of barcode labels, including sufficient size, contrast, and the absence of errors. Using high-quality printers and materials, with regular maintenance and calibration, helps avoid issues.
• Conduct audits to assess user satisfaction and system performance.

Our guide for solving common barcode scanning challenges has additional practices for resolving issues in production.

Barcode scanning software is a powerful tool for streamlining inventory management and reducing costly errors. By selecting the right software, businesses can not only become e more agile and customer-friendly now but also future-proof operations and set themselves up for value creation down the line.

As data capture becomes smarter, barcode scanning technologies will play a more critical role in automating inventory processes at scale.

For example, context-based barcode scanning (shown in video below) uses AI to eliminate the need for precise aiming and reduce unwanted scans by as much as 100%. Label scanning can be fully automated and made up to seven times faster by augmenting barcode scanning with text recognition, so both barcodes and printed text can be read simultaneously.

Discover Scandit’s barcode scanning solutions

To see how our barcode scanning software supports your inventory management needs, contact us. A team member will happily answer your questions and help you choose the right solution for you.

To try Scandit software for yourself, start your free trial now.

What is the best barcode scanning software for integrating with ERP systems?

The ideal barcode scanning software for ERP systems balances user experience and performance to ensure accurate and fast data capture. It should also include advanced features such as batch scanning and real-time insights to enhance efficiency.

The choice also hinges on development resources and time – pre-built software components deploy faster than libraries requiring customization effort.

Scandit offers a range of barcode scanning integration options for ERPs, from no-code standalone scanning apps to fully flexible SDKs. All solutions are built on a high-performance foundation backed by extensive user experience research.

To pick the right option, read this comparison between Scandit barcode scanning solutions.

How do I generate barcodes for my inventory system?

Barcodes should be designed and printed for easy application onto packaging or label paper. Typically, this is done through software separately from barcode scanning software.

Scandit’s free online barcode generator allows you to specify the barcode type (symbology), size, and desired value.

Can barcode scanning software improve inventory accuracy?

Yes, the right barcode scanner can improve inventory accuracy by making it easier for users to scan barcodes under various real-world conditions.

The most common causes of inaccurate or missing inventory data are human error and insufficient software performance. If users cannot scan labels quickly or determine whether a barcode is captured correctly, they must enter data manually – increasing their time on task and the chances for error.

Barcode scanning software such as the no-code Scandit Express and the customizable Scandit Barcode Scanner SDK help developers make inventory scanning more accurate and efficient on users’ smart devices. The SDK includes MatrixScan Count, a pre-built component to automate receiving and cycle counting workflows with guided mobile augmented reality (AR) overlays.

What ERP systems are compatible with barcode scanning software?

Scandit barcode scanning software turns any mobile device with a camera into a barcode scanner that connects with ERP systems. Our no-code app Scandit Express, native/cross-platform SDKs, and web SDK offer different levels of integration effort and features to support any development timeline.

Scandit software supports SAP, IBM Sterling, and Oracle Store out of the box and can be customized to work with any ERP vendor.

How do I train my staff to use barcode scanning tools?

Training staff to use barcode scanning tools requires a strategic approach that addresses technical skills and the potential resistance to change.

Begin by assessing your workforce’s current technological readiness and developing a training program that includes hands-on use of the barcode scanning software in real-world situations. And remember that not all barcode scanning software is equal. Choosing barcode scanning tools that are fast, accurate, intuitive to use, and offer UI customization options will make training easier.

Implement training in phases, starting with a pilot group and gradually expanding while providing ongoing support and clear communication about the benefits of the new barcode scanning tool.

Continuously measure training effectiveness through performance metrics, user feedback, and adoption rates, and refine your approach based on these insights.

What are common mistakes when integrating barcode scanning with ERP systems?

The biggest mistake when integrating barcode scanning with ERP systems is failing to take real-world conditions into account. Barcode scanning software is only as good as the situations it handles; if it cannot compensate for the actual scanning environment — with the potential for poor lighting, torn or obscured labels, and sporadic internet connectivity — users will get frustrated, and data accuracy will suffer.

To overcome these issues, developers should choose barcode scanning software that can adapt to various real-world conditions and test it thoroughly using scenarios and environments that match actual use.

To minimize the risks of barcode scanning integration with ERPs, read this barcode scanner selection guide.