Inventory management is the practice of overseeing and controlling the ordering, storing and utilizing of materials that a business holds in stock. It includes processes such as controlling the flow of goods and services into and out of the storeroom or warehouse, ensuring that orders are fulfilled within deadlines and efficiently managing stock levels to reduce waste and maximize profit. By properly managing inventory, businesses can ensure that they have what they need when they need it. Adopting an effective inventory management method helps businesses save costs, implement leaner processes and boost customer satisfaction.