Materials
Inventory Management
The process of tracking, controlling, and optimizing inventory levels to meet demand efficiently.
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Updated 2025-10-01
Definition
Inventory management ensures that the right amount of stock is available at the right time while minimizing holding costs and avoiding stockouts.
Overview
Overview
Inventory management is critical for supply chain efficiency, reducing excess stock, and maintaining service levels.
Techniques
- Just-In-Time (JIT)
- Economic Order Quantity (EOQ)
- ABC Analysis
- Cycle Counting
Example
A retailer uses inventory management software to track sales and automatically reorder popular products before stock runs out.
Tags
#Inventory Management#Stock Control#Warehouse#Materials#Supply Chain
Related Terms
Inventory Turnover
Cycle Counting
Perpetual Inventory System
