Inventory Management in Oracle Fusion Cloud SCM ensures optimal inventory levels by tracking

stock movement, availability, and replenishment needs across warehouses and supply chains. It

monitors quantities on hand, in transit, and on order, using real-time data to prevent overstocking or

stockouts. For instance, if a product’s stock drops below a reorder point, the system triggers a

replenishment alert. Option A is incorrect—reducing supplier costs is a procurement goal, not

Inventory Management’s focus, which is stock optimization. Option B is wrong as it manages

warehouse stock, not just supplier shipments. This function balances inventory costs with service

levels, supporting efficient operations and customer satisfaction by ensuring products are available

when needed without tying up excess capital.

Reference: Oracle Fusion Cloud SCM Documentation - "Inventory Management Overview"