Inventory Visibility Issues: Tracking Sitting Goods in Warehouses

The article raises questions about inventory accountability in warehouse operations, specifically addressing the challenge of tracking goods that remain stationary in storage facilities. This is a critical operational issue for supply chain professionals who rely on real-time visibility and accurate inventory records to manage working capital and fulfill customer orders efficiently. Inventory discrepancies and tracking failures can stem from multiple causes: inadequate warehouse management systems, poor cycle counting practices, labeling errors, or process breakdowns in goods receiving and placement.

When goods become "lost" in the system despite physical presence, it creates cascading problems including inaccurate demand forecasting, safety stock miscalculations, and potential write-offs. For supply chain teams, this underscores the importance of implementing robust warehouse management systems (WMS), regular cycle counts, and clear accountability protocols. Organizations should audit their current inventory tracking capabilities and invest in technology solutions that provide real-time location visibility.

The broader implication is that operational excellence requires not just moving goods efficiently, but maintaining complete visibility and control over inventory throughout its lifecycle.