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Inventory Management: Why important to manage inventory?

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Why is it important for organizations to effectively manage their inventory?

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Solution Summary

Your discussion is 282 words and gives you three ideas about why this is critical for organizations.

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Inventory management can be a competitive advantage. It can also be a source of losses. So, good management can avoid the losses and make inventory handling a way to compete with other market participants.

For example, buying too much inventory can lead to damage or loss because items are stored and forgotten, or moved around and therefore dinged up. Excess items can become obsolete and therefore lose value over time. While ...

Solution provided by:
Carol Sargent, PhD
Education
  • BSc, University of Virginia
  • MSc, University of Virginia
  • PhD, Georgia State University
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