Inventory management in supply chain management is the process of overseeing and controlling the ordering, storage, and use of materials within a business. It is an important part of the supply chain process as it ensures that the right amount of materials are available when needed, while minimizing excess inventory costs. This is achieved by monitoring inventory levels, ordering materials, and tracking inventory movement. Inventory management also involves analyzing data to identify trends and determine future needs. It is important to have an efficient inventory management system in place to ensure that the supply chain runs smoothly and efficiently. This includes having an accurate inventory system, understanding customer demand, and having an effective forecasting system. Additionally, inventory management should be integrated with other parts of the supply chain, such as order fulfillment, logistics, and warehousing. By having an effective inventory management system in place, businesses can ensure that their supply chain is running efficiently and cost-effectively.
