What metrics are most important for Inventory Management? Why?

Dear Mohammed,

Ramadan Kareem!

To start with this depends on the type of product and nummer of SKU's you are stocking. 

The more products / SKU's and the higher the value, the more control and reporting you want to put in place in addition to security measures. 

Kind regards, Onno

Now, if the question is how do I recognize the inventory management metrics, we have the answer for your right away. The following areas of discussion throws light on key inventory metrics for small businesses that can be obtained from an inventory management system to help them do the best strategical improvisation. Recently, I have found the article of 10 Best Inventory Management Metrics for Small Business. I hope this post will help you to get clear idea.

Most important is inventory record accuracy (IRA) And then Inventory Turnover  Ratio.Reason ,if you have proper IRA then only you will be getting better results of any metrics,apart if you have better turnover ration it shows that you carry right kind of inventory to support sales which ultimate goal of having inventory.