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Inventory Shrinkage %

Purpose -

Detects losses due to theft, damage, or misplacement, ensuring accountability.

Operational Definition -

(Recorded Inventory – Actual Inventory) / Recorded Inventory * 100

Type of Metrics -

KPI

Function -

Warehouse & Distribution

Associate Function -

Warehouse & Distribution

Desired Trend -

Lower the better

Recommended Frequency - 

Monthly

External References -

https://legacyscs.com/warehouse-kpis-to-measure/

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