What is supply chain inventory management?

Definition

Inventory management is a process of efficiently and effectively managing the number of products in stocks. Inventory management can help reduce the risk of spoilage and waste, as well as improve profitability. To make decisions on inventory management, it is necessary to know what supply chain inventory management means. Without knowing that, you may be missing out on some crucial insights into your business's current and future success. The key to this process is understanding demand forecasting for your business. As demand changes, so will inventories. By utilizing forecasting software, you can better prepare for the future with supply chain inventory management in mind. By developing up-to-date forecasts, you can ensure that your company has ample supplies of all product types at all times.