The definition of inventory management includes maintaining optimal stock levels, reducing carrying costs, and preventing overstocking or stockouts. In simple terms, inventory management in logistics ensures the right products are available at the right time and place. The meaning of inventory management also involves integrating data, software, and supply chain strategies for accuracy. In essence, inventory management refers to a system that supports smooth operations in retail, manufacturing, and distribution. Effective logistics and inventory management can significantly boost profitability and customer satisfaction.
See Warehousing.