Conquer the CLTD Challenge 2025 – Navigate Your Path to Logistics Success!

Question: 1 / 605

Which inventory review approach is more useful for slow-moving items?

Continuous review

Periodic review

The periodic review approach is particularly beneficial for managing slow-moving items in inventory. This method involves reviewing inventory levels at scheduled intervals, such as weekly or monthly, rather than keeping a constant vigilant check on stock levels. For items that do not move frequently, continuous review can lead to unnecessary administrative work and costs, as slow-moving items may not require constant monitoring.

By utilizing periodic reviews, organizations can consolidate their efforts and focus on assessing inventory for slow-moving items at a designated time. This allows for strategic decisions about replenishment, liquidation, or reallocation to be made without the pressure of real-time tracking. Additionally, periodic review helps in managing carrying costs associated with slow-moving items since only a few select items need attention at any given review cycle. This approach fosters a balance between maintaining adequate stock levels and minimizing excess inventory costs, making it an efficient choice for items that do not frequently sell.

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Real-time review

Dynamic review

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