Supply Chain Glossary

Inventory Optimization

Definition
Technology that identifies optimal inventory strategies to enhance customer service and maximize ROI across the supply chain.


Learn more about Inventory Optimization

Stop moving boxes, start moving dollars: The new math of global supply chain velocity
A new supply chain framework argues that in today’s volatile global trade environment, companies can dramatically improve profitability and liquidity by optimizing capital velocity, payment timing, and container density rather than focusing…
What It Really Means: SKU segmentation
SKU segmentation enables supply chain leaders to prioritize products based on their strategic role, aligning inventory, service levels, and operational policies to drive better financial and operational performance.
Buffer or suffer: Dynamic Multi-Echelon Inventory Optimization in action
Dynamic Multi-Echelon Inventory Optimization enables supply chain leaders to balance service levels and working capital by optimizing inventory across the entire network rather than individual locations.
Why retail planning is moving beyond seasonal forecasts
Retailers are moving beyond seasonal planning toward integrated, AI-driven decision frameworks that connect real-time demand signals, financial guardrails, and execution at the store level.
Dealing with supply chain complexities with scenario intelligence
Using a tailored simulation model provides strategic insight into inventory management, resulting in improved forecast accuracy, reduced errors by 26%, and lowered Mean Absolute Percentage Error from 28% to 20.7%, research found.
Transforming inventory management into strategic advantage through integrated business planning
Adopting an integrated approach to inventory management not only mitigates risks but also fuels long-term business success, says Oliver Wight Americas’ Business Advisor Alexander Miltenburg.
Integrating inventory into air vs. ocean international transportation modal choice strategies
The decision to ship products via air or ocean requires more information than just a cost analysis of the two modes—it involves using inventory carrying cost and inventory investment data to make a sound choice.
Why we can’t ignore inventory rightsizing in industrial sectors
Bloated inventories were not confined to retail post-COVID, and while the retail sector has brought inventories under control, the industrial sector has not.
Improve stock control and predictability to overcome inventory performance barriers
Delivering reliable product supply has only become more difficult in recent years with market challenges. To get back on track, organizations should focus on the development and practice of two performance management disciplines: Stock control for…
GreyOrange co-founder Akash Gupta named CEO
Co-founder Samay Kohli transitions to the board of directors.
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