Bae 5 Tracker

Inventory

Inventory

Definition: Inventory

Definition: What is Inventory?

Inventory includes all of the raw materials, work-in-process goods and completely finished goods listed as part of assets of a business, either ready or to be ready for sale. It is one of the most important assets for most businesses. It is the turnover of inventory that represents one of the primary sources to generate revenue that is then considered as the company’s earnings.
Proper inventory management helps define a company’s effectiveness and efficiencies. Keeping too much inventory for too long is usually not a good proposition because of inventory storage costs, as well as risking that this inventory will become either obsolete, or spoiled, or both. Too little inventory, on the other hand, creates the risk that the company might lose potential sales as well as its market share. Inventory management is based on proper forecasts that include strategies, such as a just-in-time inventory system, to help minimize inventory costs.

More information:

Ask your Raymond Handling Concepts Sales Rep about warehouse inventory and other inventory control systems. Click here.

If you have additional questions on warehousing or materials handling, please feel free to contact Raymond Handling Concepts Corporation at 1-800-675-2500, or email us at . We will be more than happy to answer any of your questions. You can also submit your question to our Warehouse Genius.