Materials Management

Inventories are stock of materials of any kind stored for future use. They are materials or resources of any kind having some economic values, either awaiting conversion or use in the futures. They include semi-finished goods awaiting release for sale, many indirect materials such as maintenance materials, fuels and lubricants, etc.

Inventory is the term for the goods available for sale and raw materials used to produce goods available for sale. Inventory represents one of the most important assets of a business because the turnover of inventory represents one of the primary sources of revenue generation and subsequent earnings for the company's shareholders.