| Cycle Counting | A physical inventory-taking technique in which inventory is counted on a frequent basis rather than once or twice a year.
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| Dependent Demand | The need for any one item is a direct result of the need for some other item, usually an item of which it is a part.
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| Fixed-Order Quantity | An inventory model where the amount requisitioned is fixed and
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| Model (Q Model) | the actual ordering is triggered by inventory dropping to a specified level of inventory.
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| Fixed-Time Period | An inventory control model that specifies inventory is order
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| Model (P Model) | at the end of a predetermined time period. The interval of time between orders is fixed and the order quantity varies.
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| Independent Demand | The demands for various items are unrelated to each other.
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| Inventory | The stock of any item or resource used in an organization.
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| Inventory Position | The amount on-hand plus on-order minus back ordered quantities. In the case where inventory has been allocated for special purposes, the inventory position is reduced by these allocated amounts.
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| Safety Stock | Amount of inventory carried in addition to the expected demand.
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| Stockkeeping Unit (SKU) | A common term used to identify an inventory item.
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