What is an Inventory report?

With a wealth of data being stored, there is an opportunity for you to dig deeper into it and gain better business insight.

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An inventory report summarizes items belonging to a business or organisation. It contains a snapshot of current stock levels and the consumption of these items per day for each distribution centre that is to be replenished. An inventory report can be in a physical or electronic format and consists of numbers representing products available for immediate sale, inventory being ordered, or inventory required for internal business operations.ย 

In an inventory report you can find information on:ย 

  • The quantity of each item availableย 
  • Their location in the inventoryย 
  • The value of the goodsย 
  • Any movements, such as incoming and outgoing transactionsย 

It is crucial for the company's operation and efficiency to have accurate and up-to-date information about inventory levels. Inventory reports provide companies with a clear overview of available items, making it easier for them to plan their purchases and avoid excess stock.ย ย 

Additionally, inventory reports can help companies identify any issues in their inventory management, such as an excess of certain items or frequent shortages. By analyzing this data, companies can make informed decisions about inventory management and work to optimize their inventory costs.ย 

How can TrueCommerce help?ย 

TrueCommerce use the information provided within these reports to create and calculate an optimum/suggested level of replenishment for the distribution centre.ย 

The recommendations are based on algorithms which use factors such as forecasts, frequency of sale, and velocity of sales. Ideally, these processes include:ย 

  • Periodic review and calculation of order points and order quantities based on movement data and special information such as promotions, seasonality, etc.ย 
  • Frequent comparison of on-hand inventory to order point and generation of recommended replenishment ordersย 

Key takeaways

  • An inventory report is a summary of items belonging to a business, or organisation.ย 
  • An inventory report contains many important pieces of information that enable your company to make informed decisions.ย 
  • With an inventory report, transparency is provided to companies and helps ensure the right items are in the correct quantities in stock.ย