1. Inventory Management
  2. Inventory Accuracy & Integrity

Inventory Accuracy


Measures the percentage comparison of the physical count of inventory items to the recorded amount in the inventory management system. Ensuring inventory accuracy prevents stockouts, reduces holding costs, and ensures timely deliveries to customers. A high accuracy rate indicates a well-managed inventory system.


(Physical Countof Inventory / Recorded Inventory) x 100


If a warehouse's physical count shows 950 items but the system says 1000, the inventory accuracy is 95%.