Cycle Counting vs Full Physical Inventory: Pros & Cons
Inventory management leaders must choose between ongoing counts or a full snapshot. This choice affects compliance, operational impact, and financial control. The goal is to enhance inventory accuracy, maintain warehouse efficiency, and fulfill reporting needs without unnecessary costs or disruptions.
Cycle counting is a continuous process. Teams focus on specific SKUs on set days, often based on ABC analysis. This method ensures continuous monitoring and helps manage labor needs. It requires a reliable WMS and strict routines to prevent errors and stock misplacement.
Full physical inventory offers a complete count at a specific time, often for audits and financial reports. It meets GAAP and IRS standards, requiring either an annual count or a robust perpetual system. This method demands a weekend shutdown or a slow period for concentrated labor, but it provides a reliable baseline.
Many adopt a hybrid approach to balance accuracy, compliance, and costs. They schedule an annual physical count for assurance and use cycle counts for daily control. This strategy improves inventory management while preserving warehouse efficiency across different seasons and channels.
Inventory Management Basics: Why Counting Methods Matter for Accuracy and Compliance
Organizations depend on accurate inventory management to maximize capital and ensure timely orders. The choice of counting methods affects how quickly issues are identified, how fast teams can resolve stock discrepancies, and the quality of audit records. Efficient processes lead to consistent inventory levels and high accuracy at scale.
Inventory control, tracking, and optimization fundamentals
Effective inventory control ensures that book balances match actual stock levels, reducing shrinkage, stockouts, and carrying costs. Real-time inventory tracking during receiving, putaway, picking, and shipping is essential for timely fulfillment.
Companies employ barcode or RFID scans linked to Warehouse Management Systems (WMS) from Oracle NetSuite, SAP, or Manhattan Associates. These systems enhance process discipline. They guide in setting reorder points, slotting, and safety stock levels, improving inventory accuracy and service reliability.
GAAP and IRS expectations: annual counts or perpetual systems
U.S. GAAP and IRS guidelines offer two compliant options: a complete annual physical count or a perpetual system with regular verification. Cycle counting acts as the verification layer when done regularly and documented with variance analysis.
Auditable trails, including count schedules, approvals, and adjustments, are vital for financial reporting. Regular reconciliation enhances inventory tracking controls and safeguards the cost of goods sold from errors.
Impacts on warehouse efficiency, labor, and customer satisfaction
Full physical counts concentrate labor and often halt shipping and receiving, leading to overtime and increased error risk. Cycle counts, on the other hand, integrate checks into daily or weekly routines, smoothing labor demand and reducing downtime.
For fast-moving retail and e-commerce, maintaining a steady counting cadence boosts inventory accuracy, shortens discrepancy resolution, and preserves promised delivery dates. Consistent inventory management and optimization ensure high fill rates, protecting customer satisfaction and profit margins.
Definitions and Core Concepts in Inventory Counting
In inventory management, a physical inventory is a complete count of every SKU across all locations at a single point in time. This process involves pausing regular activities to count, reconcile, and verify results for financial statements, audits, and regulatory reports. It provides a precise snapshot but requires downtime and concentrated labor. To minimize disruption, many organizations schedule it during weekends or slow periods.
Cycle counting, on the other hand, is a continuous verification method. It involves checking specific subsets by product, zone, or event at regular intervals. Counts can happen daily, weekly, or monthly to ensure continuous validation. This approach helps identify discrepancies early and supports tighter inventory control in a perpetual inventory management system.
The ABC analysis determines the frequency of cycle counting. High-value or fast-moving items (“A” items) are checked more often than slower-moving items (“B” or “C” items). Teams also use zone-based and event-based routines to focus on high-risk areas and respond to unexpected changes. The goal is to align recorded balances with actual stock levels while minimizing operational impact.
Both methods aim to reconcile system data with physical stock but differ in frequency and resource usage. A full count provides a detailed snapshot for compliance, while cycle counts integrate verification into daily operations. The choice affects how quickly errors are detected, how labor is allocated, and how inventory management practices maintain accuracy over time.
| Method | Core Purpose | Frequency | Operational Impact | Typical Triggers | Use in Inventory Control |
|---|---|---|---|---|---|
| Cycle Counting | Continuous validation of system accuracy on selected SKUs or locations | Daily, weekly, or monthly by ABC class, zone, or exception | Low disruption; embedded in routine workflows | ABC priority, movement spikes, variance alerts, replenishment events | Ongoing error detection, rapid correction, supports perpetual inventory management |
| Full Physical Inventory | Comprehensive, point-in-time snapshot for reporting and audits | Annual or quarterly; sometimes semiannual for tighter controls | High disruption; requires operational pause and concentrated labor | Financial close, audit schedules, regulatory deadlines | Confirms book-to-physical alignment for compliance and financial accuracy |
Cycle Counting vs Full Physical Inventory
Deciding between Cycle Counting and Full Physical Inventory impacts inventory accuracy and warehouse efficiency. This choice influences labor planning, throughput, and compliance throughout the fiscal year.
Primary differences in execution, frequency, and disruption
Full physical inventory demands a complete count of all SKUs within a short timeframe. Many facilities must pause or reduce operations to accomplish this, which can slow down order processing and increase overtime costs.
Cycle counting, on the other hand, involves smaller counts integrated into daily tasks. Teams verify specific SKU groups by area, class, or risk without halting fulfillment. This method is continuous, guided by turnover, ABC analysis, or exception triggers in a WMS from providers like Manhattan Associates, Blue Yonder, or SAP.
The disruption caused by these methods is vastly different. Physical counts concentrate labor into a single event, while cycle counts distribute effort and maintain warehouse efficiency during peak periods.
Which method aligns with your operational pace and business model
Cycle counting is ideal for high-turnover and omnichannel networks where a pause is impractical. E-commerce operations on platforms like Shopify and Amazon Seller Central benefit from quicker discrepancy detection and consistent inventory accuracy.
Full physical inventory is better suited for smaller assortments, slower-moving catalogs, or firms that plan around quarterly or annual audit cycles. It provides a point-in-time baseline that can recalibrate records after seasonal swings.
Balancing ongoing accuracy with compliance-driven snapshots
GAAP and IRS frameworks accept either an annual physical count or a perpetual system supported by documented controls. Cycle counting favors continuous accuracy and near-real-time reconciliation, while a full physical inventory offers a compliance snapshot for auditors.
Many organizations combine both methods: maintain cycle counts for day-to-day precision and schedule an annual wall-to-wall count to satisfy attestation needs. This balance ensures inventory accuracy and protects warehouse efficiency across reporting periods.
| Dimension | Cycle Counting | Full Physical Inventory | Operational Implication |
|---|---|---|---|
| Execution | Targeted, in-process counts by zone/SKU class | All-SKU count within a fixed window | Cycle method protects throughput; physical method resets records |
| Frequency | Continuous; turnover- and risk-based schedules | Periodic; annual or quarterly | Continuous frequency improves sustained inventory accuracy |
| Disruption | Low; embedded in daily operations | High; shutdowns or scale-downs common | Lower disruption supports warehouse efficiency during peaks |
| Labor Profile | Distributed effort; steady staffing | Concentrated effort; overtime risk | Smoother labor curve vs. single-event surge |
| Data Outcome | Ongoing corrections, faster variance detection | Point-in-time snapshot for auditors | Trade-off between continuous control and compliance evidence |
| Best Fit | High-turnover, e-commerce, omnichannel networks | Smaller assortments, slower-moving inventory | Select based on operational pace and reporting needs |
What Is Cycle Counting? Processes, Schedules, and Use Cases
Cycle counting involves selective counting within daily operations to keep things moving. It verifies small SKU groups against system records. This enhances inventory tracking and maintains inventory accuracy without halting fulfillment. It’s a key practice in inventory management for retailers, e-commerce brands, and third-party logistics providers.
Perpetual counting approach integrated into daily operations
Technicians count subsets during receiving, picking, or replenishing, updating variances in real time. ABC analysis focuses on high-value or high-velocity items. Zone-based rotations ensure complete coverage. Event-based checks are triggered by anomalies, improving tracking and accuracy.
In modern inventory management, warehouse management systems prompt tasks and capture confirmations at the bin level. Barcode and RFID scans, along with exception workflows, reduce errors and speed up counting.
Scheduling by turnover: daily, weekly, or monthly routines
Schedules align with demand and space utilization. Daily counts target high-value or fast-moving items. Weekly routines cover items with steady movement. Monthly counts focus on slow-moving items to maintain accuracy.
- Daily: A items, promotion-sensitive SKUs, and return-heavy nodes.
- Weekly: B items, active pick faces, and cross-dock areas.
- Monthly: C items, overstock locations, and slow-moving reserves.
This cadence supports purchasing and slotting decisions by surfacing chronic deltas. It improves inventory management outcomes and service levels.
Best fit: high-turnover, e-commerce, and omnichannel environments
Facilities with rapid order cycles and frequent returns benefit most. E-commerce fulfillment centers and big-box retail distribution hubs need continuous accuracy. Cycle counting ensures ongoing validation, strengthening tracking and reducing backorders.
Omnichannel operators using systems from Oracle NetSuite or SAP S/4HANA can embed tasks into pick waves and replenishment runs. This integration streamlines inventory management, lowering disruption while maintaining count coverage across various locations.
Cycle Counting Strategies That Improve Inventory Accuracy
Focus on counts with ABC analysis. Prioritize high-value or fast-moving SKUs based on margin, demand, or shrink risk. This approach enhances inventory control and supports optimization and clearer demand signals.
Implement zone-based sequencing for consistent coverage. Assign aisles or bins by shift to streamline staffing and reduce travel time. This leads to more accurate inventory tracking and significant warehouse efficiency gains.
Set up exception-based counts through your WMS from Oracle NetSuite, SAP, or Manhattan. Investigate variances, negative on-hand, or unexpected picks immediately. This method boosts data quality and speeds up inventory control when discrepancies arise.
Plan counts during low-traffic times like early morning, late evening, or during wave gaps. Standardize recount rules and thresholds for mislabels, shortages, and putaway errors. These steps enhance inventory optimization without hindering dock operations.
Train teams on location control, scanning, and capturing lot or serial numbers. Short, focused sessions and job aids minimize errors and expedite audits. Consistent methods improve inventory tracking across replenishment, picking, and cycle tasks.
Utilize WMS features like real-time tracking, directed counts, and audit trails. Combine system prompts with physical verification to detect misplaced items. A documented rotation ensures every SKU is counted within a set period, reducing drift and strengthening control.
Monitor performance with a concise dashboard: count completion rate, accuracy by class, variance value, and time-to-resolution. Link these metrics to reorder accuracy and service levels. This quantifies warehouse efficiency and guides inventory optimization.
Pros and Cons of Cycle Counting
The cycle counting process ensures ongoing verification without disrupting operations. It supports inventory control and spreads the workload across shifts. This method strengthens inventory accuracy through regular checks. It also allows teams to adjust reorder points in a timely manner, optimizing inventory and reducing stockouts.
Pros: continuous monitoring, less disruption, cost and labor smoothing
Continuous sampling flags discrepancies early, improving inventory accuracy over an annual sweep. Warehouses remain open, avoiding shutdowns that stall revenue. Costs and labor are smoothed out across weeks, not spiking once a year. The cycle counting process is easier to schedule and audit with modern WMS from providers like Oracle NetSuite, SAP, or Manhattan Associates.
Pros: prioritize fast-moving or high-value SKUs with ABC analysis
ABC analysis directs more frequent counts to A-items, such as high-turnover or high-margin SKUs. This focus supports inventory optimization by aligning effort with risk and value. Data from these counts informs slotting and safety stock, lifting service levels while trimming carrying costs.
Cons: dependence on WMS accuracy and the risk of missing misplaced items
Results depend on location data and scan discipline in the WMS. If items are mis-slotted or moved off-system, location-driven tasks can miss them, reducing inventory accuracy. Periodic blind checks and exception hunts are needed to offset this structural gap within the cycle counting process.
Cons: discipline, training, and coverage of low-priority items
Sustained gains require trained counters, locked schedules, and documented variances. Low-priority SKUs may receive fewer touches, allowing errors to accumulate over time. Balanced routes and periodic full-bay sweeps help maintain inventory control while keeping inventory optimization goals intact.
What Is a Full Physical Inventory? Procedures and When to Use It
A full physical inventory is a detailed count of every SKU at a specific time. It ensures system records match actual stock levels. This practice is essential for inventory management, helping to validate balances and detect shrinkage. It also aids in meeting compliance requirements for reporting.
Teams stop regular activities to conduct these counts. They then compare the results with the warehouse management system. This process is critical for audits and closing periods.
Organizations use these counts to establish a reliable baseline for audits and period-end closures. It provides a definitive snapshot for inventory control, cost accounting, and tax reporting. It also uncovers defects in processes that regular checks might overlook.
Comprehensive point-in-time count for audits and reporting
Teams count all locations and SKUs within a short window, often using blind counts and verification passes. The results are compared to the inventory control system, with discrepancies investigated and resolved. This method supports inventory management metrics, enhances compliance with GAAP timelines, and prepares for external audits.
Operational pause: weekend or slow-period execution
Execution typically requires halting or scaling down receiving, picking, and shipping. Many companies schedule the event on weekends or during slow periods to limit customer impact. Clear cutoffs, secure staging, and controlled access reduce movement that could distort results.
Best fit: smaller inventories, slower-moving products, compliance cycles
Full counts are suitable for sites with smaller assortments or slower-moving lines where disruption is manageable. They align with compliance cycles that require a year-end or quarter-end baseline. In larger, complex networks, the method often complements cycle counts to ensure broad coverage with documented physical inventory procedures.
| Aspect | Operational Practice | Benefit | Risk/Cost |
|---|---|---|---|
| Scope | All SKUs and storage locations within a defined window | Complete snapshot for inventory management and audit trails | High labor and time requirements |
| Scheduling | Weekend or slow-period shutdown with documented cutoffs | Lower customer disruption and clearer variance isolation | Temporary suspension of shipping and receiving |
| Counting Method | Blind counts, verification passes, and supervisor sign-offs | Stronger inventory control and reduced bias | Error risk in non-automated environments |
| Reconciliation | Variance analysis against WMS with root-cause review | Finds systemic issues missed by cycle counts | Extended reconciliation time and resource loading |
| Use Cases | Smaller assortments, slow movers, period-end compliance cycles | Accurate baseline for financial reporting and tax support | Less suitable for fast-turn, multi-node networks |
Pros and Cons of Full Physical Inventory
Full counts offer a snapshot in time, essential for financial statements and audits. They reveal systemic problems like process gaps and data errors. After reconciling, teams often start the year with accurate inventory, improving overall management.
Yet, there are significant trade-offs. These counts are time-consuming, requiring warehouse shutdowns. They increase overtime costs and error rates due to fatigue. Unlike daily checks, they’re slower to spot ongoing issues.
- Key advantages: precise snapshot for audits; visibility into systemic problems; post-reconciliation reset that aids inventory accuracy.
- Primary drawbacks: operational disruption; concentrated labor demand; slower exception detection; higher error risk without scanning or WMS-directed physical inventory procedures.
Many firms do annual counts for compliance but use cycle counting to reduce disruption. This approach keeps inventory accurate while maintaining day-to-day efficiency. It aligns with modern inventory management, supported by systems from Oracle NetSuite, SAP, and Microsoft Dynamics 365.
| Dimension | Benefit Profile | Risk Profile |
|---|---|---|
| Financial Reporting | Point-in-time counts align with audit schedules and GAAP disclosures | Gaps can widen between events, requiring larger adjustments |
| Operational Flow | Clean baseline after reconciliation improves plan accuracy | Shutdowns or slowdowns reduce warehouse efficiency during execution |
| Quality of Controls | Reveals systemic errors across sites and processes | Manual steps increase error likelihood without automation |
| Resource Allocation | Focused effort yields thorough SKU coverage | Peak labor demand raises overtime and coordination complexity |
| Issue Detection Speed | Thorough reconciliation resolves long-standing mismatches | Slower to flag ongoing discrepancies compared with continuous checks |
Operational Impact Comparison: Accuracy, Labor, and Warehouse Efficiency
Operations leaders assess counting methods based on their impact on service levels, inventory accuracy, and warehouse efficiency. This comparison highlights the disruption, labor economics, speed of error detection, and how inventory tracking aligns with modern WMS from providers like Oracle NetSuite, SAP, and Manhattan Associates.
Disruption Trade-Offs: Shutdowns vs Embedded Counts
Full physical inventory concentrates work in a specific window. Facilities often halt receiving and shipping, delaying order processing and increasing dock dwell time. Cycle counting, on the other hand, integrates checks into daily tasks, keeping docks active and slotting available.
For high-velocity nodes, embedded counts maintain warehouse efficiency during peaks. Lower-velocity sites might accept a short shutdown to reset records and validate locations.
Labor Intensity: Concentrated Manpower vs Distributed Effort
Physical counts require a short period of intense labor. Teams work overtime, schedule night shifts, and reassign supervisors to audit crews. This approach raises fatigue risk and planning complexity.
Cycle counting, by contrast, spreads effort across shifts. Supervisors allocate small batches by aisle or ABC class, improving staffing balance and protecting core service tasks.
Speed to Detect Discrepancies and Reduce Shrinkage
Cycle programs detect errors faster, supporting loss control and steady inventory accuracy. Frequent checks catch mis-picks, mislabels, and misplacements before they cause backorders or write-offs.
Physical counts provide a reliable snapshot for audits but can delay detection. In fast-moving catalogs, the delay increases exposure to shrinkage and stockouts.
Inventory Tracking and Reconciliation with WMS
Both methods rely on the WMS for inventory tracking, variance logging, and reconciliation. Exception workflows—such as recounts, directed searches, and slot validation—are critical when records and on-hand differ.
When WMS accuracy erodes, cycle programs require targeted investigations and, at times, a wall-to-wall reset. After reconciliation, cycle routines maintain inventory optimization and stabilize key KPIs such as fill rate and order cycle time.
| Dimension | Cycle Counting | Full Physical Inventory | Operational Implication |
|---|---|---|---|
| Disruption | Embedded in daily work; minimal pauses | Planned shutdown or limited operations | Service continuity vs concentrated downtime |
| Labor Profile | Distributed effort; steady staffing | High manpower peak; overtime likely | Smoother schedules vs surge labor costs |
| Error Detection Speed | Frequent checks enable rapid discovery | Point-in-time snapshot reveals latent issues | Faster shrinkage control vs periodic visibility |
| WMS Dependence | Relies on precise locations and directed counts | Resets baseline; reconciles systemic drift | Ongoing quality vs periodic rebaseline |
| Impact on KPIs | Supports inventory accuracy and warehouse efficiency | Strengthens audit readiness and valuation checks | Operational continuity vs compliance assurance |
| Use Case Fit | High-turn, e-commerce, omnichannel nodes | Small catalogs, slower movers, audit cycles | Inventory optimization by context and pace |
Both approaches rely on disciplined slotting, scan compliance, and exception handling to preserve inventory accuracy. Granular cycle design or planned annual counts sustain inventory optimization within the WMS framework.
Hybrid Approaches and 3PL Support for Inventory Optimization
Operations often combine annual physical counts with regular cycle counts. This hybrid method ensures inventory management meets financial standards while maintaining daily accuracy. It leads to more precise inventory tracking and enhanced warehouse efficiency, all without extended downtime.
Combining annual physical counts with periodic cycle counts
Annual or year-end counts are essential for GAAP and tax compliance. In contrast, weekly or monthly cycle counts help correct discrepancies promptly. This approach ensures inventory accuracy and minimizes shrinkage throughout the year.
Counting schedules are also aligned with demand peaks. During busy seasons, counts are more frequent. In slower periods, deeper audits are conducted. This strategy maintains efficiency and protects service levels during critical periods.
How third-party logistics (3PL) enhance inventory control and reporting
3PL services, like those from DHL Supply Chain, GXO Logistics, and Ryder, are strategically located near major hubs. They offer scalable storage and trained counting teams. Their services include scheduling cycle counts and executing year-end physical inventories, with detailed exception reports and analytics.
For companies with limited resources, 3PL services bring discipline and efficiency. They standardize inventory tracking, ensure consistent counting practices, and provide consolidated reports for various stakeholders.
Leveraging WMS for real-time visibility and exception-based counting
Modern WMS platforms from companies like Manhattan Associates, Blue Yonder, and SAP provide real-time inventory visibility and control. They trigger cycle counts based on anomalies such as negative balances or unusual transactions.
With these systems, staff can validate counts at the bin level and resolve discrepancies immediately. This approach strengthens inventory management, supports optimization, and maintains efficiency during both peak and off-peak periods.
Conclusion
The debate between Cycle Counting and Full Physical Inventory revolves around strategic trade-offs. These include compliance, operational pace, and cost considerations. Annual physical inventory offers a complete snapshot, essential for audits and financial reporting under GAAP and IRS rules. This method focuses labor and causes downtime but ensures records are accurate across the SKU base.
Cycle counting, on the other hand, operates within daily workflows. It enhances responsiveness and warehouse efficiency, making labor smoother. It prioritizes high-value or fast-moving items but relies on a reliable WMS and consistent procedures. Embedded in e-commerce or omnichannel operations, it shortens error detection time, reduces shrink, and maintains inventory standards without halting fulfillment.
A hybrid model meets both regulatory and operational needs. GAAP and IRS permit either annual counts or a perpetual system. This allows for periodic cycle counts to maintain accuracy and an annual physical to confirm balances. Many organizations leverage 3PL expertise and modern WMS platforms to manage both approaches. They reconcile discrepancies and scale inventory accuracy across sites. The choice between Cycle Counting and Full Physical Inventory depends on business tempo, risk tolerance, and desired warehouse efficiency.
FAQ
What is the difference between cycle counting and a full physical inventory?
Cycle counting is a method that involves counting subsets of items on a schedule. It doesn’t halt operations. On the other hand, a full physical inventory counts all items at once, usually annually or quarterly. This often requires shutting down operations.
Cycle counting ensures ongoing inventory accuracy and quick variance detection. It supports continuous operations. In contrast, a full physical inventory provides a detailed snapshot for audits and financial reports.
Are cycle counts acceptable for GAAP and IRS compliance?
Yes, they are. GAAP and IRS guidelines allow for either an annual complete physical count or a perpetual counting system. This system must be documented and consistently followed. Many companies use a hybrid approach. They do cycle counting for ongoing verification and an annual full count for audits and regulations.
How does each method affect warehouse efficiency and labor?
Full physical inventory focuses labor in a short period, often over weekends. This leads to increased overtime and downtime. Cycle counting, on the other hand, spreads out the effort over days or weeks. It embeds verification into routine workflows.
This approach reduces disruption, smooths out staffing, and keeps service levels high. It’s ideal for fast-moving environments like e-commerce and omnichannel fulfillment.
When is cycle counting the better fit?
Cycle counting is best for high-turnover, high-SKU operations where stopping fulfillment is impractical. It works well with ABC analysis, event-based triggers, and zone rotations in a WMS. Retail, e-commerce, and 3PL-run fulfillment centers benefit from continuous monitoring.
They experience quicker reconciliation and improved inventory control.
When is a full physical inventory preferred?
A full count is better for smaller assortments, slower-moving products, or when audit cycles demand a clean baseline. It can uncover systemic issues missed by periodic counts. It resets records before fiscal reporting.
Though it requires more labor and a temporary pause in shipping and receiving.
What are the main pros and cons of cycle counting?
Cycle counting’s pros include continuous visibility, reduced disruption, and faster discrepancy detection. It also smooths out labor. Prioritization via ABC analysis targets high-value or fast-moving SKUs.
Cons include dependence on WMS accuracy, risk of missing misplaced or deprioritized items, and the need for disciplined scheduling, training, and complete coverage to prevent error buildup.
What are the main pros and cons of a full physical inventory?
Full physical inventory’s pros include a detailed snapshot for financial statements, audits, and regulatory reporting. It also surfaces broad process defects. Cons include operational downtime, concentrated labor and planning, slower detection of ongoing variances, and higher error risk in manual environments.
How should a cycle counting schedule be set?
Set a cycle counting schedule based on turnover. Count A items or critical zones daily or weekly, and B/C items weekly or monthly. This ensures complete coverage within a defined period.
Add event-based counts triggered by anomalies, such as unexpected movements, negative balances, or shrinkage alerts.
What role does the WMS play in inventory accuracy?
A capable WMS supports real-time inventory tracking, location control, audit trails, and exception-based counting. It enables ABC stratification, zone rotations, and variance workflows. Inaccurate locations or missed scans can undermine cycle counts.
Periodic wall-to-wall checks and root-cause analysis remain important.
Can a hybrid model improve both compliance and operations?
Yes. Combining annual or quarterly physical inventories with regular cycle counts improves accuracy cadence. It reduces shrinkage and maintains service levels while meeting GAAP and IRS expectations. Many organizations partner with third-party logistics providers to execute both methods.
They reconcile discrepancies and optimize inventory tracking.
