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[Music] one of the greatest challenges facing owners operations leaders and supply chain professionals is inventory control too much of this not enough of that and items that have been sitting on the warehouse shelves so long that they are unsellable hello Im Tracy Smith the president of numerical insights this video is a continuation of my series on how to use data to transform and manage your business Id like to help reduce your frustration and stress of managing inventory by showing you how to use inventory and sales data to understand inventory usage and to plan inventory purchases inventory has already cost you money to produce or purchase hence it is either a source of revenue or an expense item a better understanding leads to better decisions of what inventory to buy when to buy it and how much to purchase the most important concepts to understand about inventory or that until it is sold inventory is an expense inventory takes up physical space in your factory or warehouse an