Inventory overview

Inventory is the quantity of goods or materials on hand. These are the types of inventories:

• Standard inventory: The inventory level required to achieve in the working area at all times and towards which inventory replenishment is planned. You can define a fixed or a variable level. The variable level is calculated using a cover period.
• Initial inventory: The measured or expected physical inventory of a material at the time of counting. The initial inventory is used for inventory simulation and inventory points.
• Maximum inventory: The maximum inventory level that is allowed at a time. A warning is issued if the inventory exceeds the maximum inventory level.
• Minimum inventory: The minimum inventory level required at a time. A warning is issued if the inventory is below the minimum inventory level.

A shortage of a product at an inventory point occurs when the bottom level is lower than the minimum inventory. The difference between these two determines the size of the shortage.