There are several types of inventory, each serving different purposes within a business’s supply chain and production processes. Understanding the various types of inventory is essential for effective inventory management. Here’s a breakdown of the main types:

1. Raw Materials Inventory

2. Work-in-Progress (WIP) Inventory

3. Finished Goods Inventory

4. Maintenance, Repair, and Operations (MRO) Inventory

5. Safety Stock Inventory

6. Cycle Stock

7. Transit Inventory (Pipeline Inventory)

8. Anticipation Inventory

9. Consignment Inventory

10. Decoupling Inventory (Buffer Inventory)