Preventing Stockouts and Overstock: Smart Inventory ... - Supy

: Poor organization leads to "lost" items in warehouses, causing staff to reorder products that are already on hand.

Overstocking: Balancing Inventory for Profitability Overstock occurs when a business holds more inventory than customer demand justifies. While having extra stock can act as a buffer against supply chain disruptions, excessive surplus often leads to financial strain through tied-up capital and increased storage costs. Core Causes of Overstock

: Keeping high "safety stock" to avoid stockouts can inadvertently lead to overstocking if demand dips.