Inventory Management Vocabulary

Those items on which all manufacturing operations, including final test, have been completed.

• Finished goods

• Safety Stock

• Physical Inventory

• Reorder Point

A count of all product that has completed the manufacturing process and is ready to be shipped or sold.

• Inventory Shrinkage

• Safety Stock

• Stock Keeping Unit

• Finished Goods Inventory

Those stocks or items used to support production (raw materials and work-in-process items.

• Stock Keeping Unit

• Inventory

• Finished Goods

• Usage

The branch of business management concerned with planning and controlling inventories.

• Inventory Management

• Inventory Planning

• Inventory Order System

• Physical Inventory

Inventory models for the replenishment of inventory.

• Inventory Order System

• Inventory Shrinkage

• Inventory Policies

• Reorder Point

The activities and techniques of determining the desired levels of items.

• Inventory Planning

• Inventory Policies

• Inventory Management

• Inventory Shrinkage

A ststement of a company's goals and approach to the management of inventories.

• Inventory Management

• Inventory Policies

• Inventory Shrinkage

• Mean Absolute Deviation

Loss of inventory for any raeson including damage, theft, or expiration.

• Inventory Shrinkage

• Inventory Management

• Physical Inventory

• Usage

A span of time required to perform a process ( or series of operations.

The time between the recognition of the need for an order and the receipt of goods.

• Lead Time

• Inventory Planning

• Usage

• Work In Process

The average distance between each data value and the mean.

A way to describe the variation in a data set.

• Mean Absolute Deviation

• Economic Order Quantity

• Work in Process

• Reorder Quantity