SUPPLY CHAIN STRATEGY
How global supply chains utilise inventory management For successful businesses, the process of inventory management usually starts with demand forecasting. By analysing the likes of previous sales, market activity and seasonal trends, companies can predict the quantities of goods they will need.
Once forecasts are set, procurement teams place orders with suppliers based on current stock and lead times. Next, approved items are entered into the inventory system and placed in storage, with barcodes to enable efficient tracking.
Warehouses themselves are organised so stock is easy to access, with highdemand items often stored closer to packing areas. Inventory systems will then monitor stock levels constantly, so that when a consumer places an order, the system updates immediately.
Products can then be picked, packed and dispatched until stock drops below a certain point, when the cycle starts again.
This ensures a constant supply so businesses can keep up with demand.
Some large companies manage inventory across multiple locations using systems that combine ERP and WMS software connected through APIs or middleware. Meanwhile, automation tools like barcode scanners, RFID and AI streamline tasks such as purchase order issuance and delivery tracking, while multi-warehouse systems allocate stock efficiently based on demand. It’ s also important to ensure ongoing staff training and regular audits to check and maintain data accuracy.
186 November 2025