Which of the following is a major objective of distribution inventory management?

Distribution inventory management focuses on balancing the needs of the supply chain with the expectations of customers. One of the primary objectives is to ensure that the right products are available at the right time to meet customer demands, which enhances customer satisfaction and loyalty. By aligning inventory levels with customer service requirements, organizations can effectively reduce stockouts and maintain service levels while optimizing the overall inventory management process.

While minimizing costs associated with warehouse space, labor, or ensuring excess stock is available are all important considerations in inventory management, the overarching goal remains centered on providing the required level of customer service. Meeting customer expectations is critical for sustaining competitive advantage and can directly influence sales and profitability. Thus, prioritizing customer service needs is essential in successful distribution inventory management.