Inventory Management Introduction Inventory refers to the goods or raw materials required to produce finished goods or to sell to customers to gain profit. It is mainly categorized in three different ways, raw materials, work-in-progress, and finished goods. Inventory management is all about tracking the inventory from manufacturers to warehouses. In short, planning, organizing, handling and storing some required amount of inventory with the right amount of cost to meet the consumer’s demand. Here the main objective is to have the right products in the right place at the right time. Inventory also includes certain maintenance costs, so how to reduce that cost and also how to beat customers' demand is all that inventory management does. Managing inventory mostly involves two costs i.e. ordering cost and carrying cost. Placing certain order, shipping, insurance, inspection, accounting all this comes under ordering cost and other than that carrying cost include cost of ...