• What Is Inventory Control?
Inventory control refers to the processes and systems used to manage stock levels, including
determining how much inventory to keep on hand, reordering stock, and maintaining optimal levels
to meet operational needs while minimizing costs.
Determining stock levels is a central function of inventory control, ensuring the organization has the
right amount of inventory to meet demand without overstocking or understocking.
• Why Other Options Are Incorrect:
B . Safeguard control: This refers to protecting inventory from theft, damage, or loss, not determining
stock levels.
C . Management control: This is a broader term encompassing oversight and governance, not specific
to inventory.
D . Supply control: This typically refers to managing supply chains and suppliers, not the internal
control of inventory levels.
• Reference and Documents:
GAO Inventory Management Guide: Defines inventory control as the process of determining and
maintaining appropriate stock levels.
Best Practices in Government Inventory Management (AGA): Emphasizes the role of inventory
control in balancing supply and demand.