An inventory management system (IMS) is a computerized system that helps businesses track and manage their inventory. IMS can improve efficiency, accuracy, and compliance with regulations. It can also reduce the cost of inventory by allowing businesses to better predict and manage demand.

Inventory optimization is the process of managing a company's inventory ensuring that it has the right amount of products, at the right price, and in the right condition. There are a number of key factors that gets considered when inventory optimization is underway.