Inventory Management is the practice of overseeing and controlling the ordering, storage and use of materials or parts intended for production. It includes tasks such as forecasting demand, tracking inventory levels, locating and procuring new materials or supplies, and organizing the warehouse space. Challenges facing inventory management can include a variety of issues, ranging from stock control to supplier collaboration. Incorrectly managed inventories may lead to inaccurate records, loss of goods, incorrect product counts, overstocking and under-stocking, increased costs, delayed deliveries and poor customer service. Good inventory management is essential for any business that wants to maximize its profits by avoiding unnecessary waste and streamlining processes.