Who Owns Inventory?

People frequently ask: Who owns inventory?

They see inventory created as the result of actions or lack of execution by different functions of the company.

They wonder whether accountability for inventory has been established.

In asking who owns inventory, people frequently neglect to consider inventory as a strategic asset.

When inventory is considered a strategic asset, inventory tactics have developed that address:

• Seasonality of demand
• The advantages of building a product prior to a new product launch
• The need for safety stock as a hedge against demand and supply uncertainties

Inventory tactics are often not considered when companies lack formal, integrated processes that align demand, supply, and financial plans.

Effective processes for setting inventory tactics include Integrated Business Planning (IBP) and Integrated Tactical Planning (ITP).

When inventory tactics are not formally considered, decision-making roles are not clear and inventory is not well-governed. Accountabilities are also hidden or not accepted.

So who Owns the Inventory?

Download this white paper and find out how organizations like yours can establish solid ideas of the tactical readjustments necessary to meet their inventory challenges.