Inventory isn’t just stock. It’s cash sitting on your shelves A distribution center I heard about last year was sitting on 11 weeks of a particular SKU because their cycle counts kept coming back clean. Clean on paper. In reality, a slotting change six months earlier had split the product across two locations, and nobody had reconciled it. Eleven weeks of carrying cost, tied up in units they thought they needed to reorder. They didn't. This is the part that doesn't show up in

The goal isn’t the lowest stock. It’s the right stock There's a metric that gets chased in every DC I've ever worked in: inventory reduction. Leadership wants it down, finance wants it down, and whoever hits the lowest number gets the slide in the QBR. I get it. Carrying costs are real. But I've watched operations cut so deep they were air-freighting product at 9x the cost because a single supplier had a two-week delay. The savings evaporated fast. The goal isn't lowest. It's

Fast, accurate returns keep inventory moving Most warehouses have a solid process for inbound freight. Purchase order comes in, you receive against it, you slot it, done. Returns are a different animal entirely. There's no PO to receive against, the condition is unknown until someone looks at it, and half the time the return lands on a cart near the dock because nobody knows where else to put it. That cart becomes a black hole. The core problem is that returns get treated as

AI processes the complexity; people handle the judgment Here's the honest version of the AI-in-logistics conversation, not the conference-keynote version. Humans are excellent at spotting that something is wrong. We notice the pallet that looks off, the slot that feels light, the shipment that arrived quieter than it should have. That instinct is real and it matters. What humans are not good at is processing 40,000 SKU movements across three shifts and catching the one item t