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Inventory

Inventory management

Inventory management covers the planning, monitoring, and control of stock across locations, channels, and time periods.

Also known as

Stock management

Direct answer

What is Inventory management?

Inventory management covers the planning, monitoring, and control of stock across locations, channels, and time periods. Good inventory management balances availability, carrying cost, and working capital by connecting forecasts, purchase orders, lead times, and actual sales.

Practical example

A team sees that Amazon stock will run out in 18 days while the Shopify warehouse holds 60 days of cover, and reallocates inventory.

What teams should remember

Inventory management covers the planning, monitoring, and control of stock across locations, channels, and time periods.

Good inventory management balances availability, carrying cost, and working capital by connecting forecasts, purchase orders, lead times, and actual sales.