Aris Syntetos: On the accuracy and accuracy-implications of inventory records

Inventory records are often inaccurate, and this is known to be the source of major cost and service inefficiencies in retailing. However, the practices of measuring and reporting errors in inventory records vary considerably across the sector. Further, and while the advantages of error-free stock records are apparent, retailers may tolerate minor discrepancies as inconsequential, blurring the line between ‘accurate’ and ‘inaccurate’ records. We set out, for the first time, to systematically research and understand inventory record accuracy measurement. We recognise that the implications of such accuracy for business practices are crucial, so we also consider how accuracy translates (or not) to bottom-line improvements. Our empirically grounded research involves detailed data from, and counterfactual analysis in, a number of major European retailers. We put forward a set of desirable attributes for the error measures and a protocol to assess the sales-lift and other implications of fixing the records. We offer operationalized suggestions that should be valuable for any professional involved in inventory decisions making.

Aris Syntetos is Distinguished Research Professor of Decision Science and DSV Chair of Logistics Research at Cardiff University, where he researches inventory forecasting, and uncertainty modelling for improving logistics and supply chain decisions. He is Director of the joint Cardiff University-DSV PARC Institute that resides in the University. Aris' fundamental research has received about 14,000 citations and many of his algorithms feature in best selling supply chain software packages. He is the Editor In Chief of the IMA Journal of Management Mathematics (IMAMAN) published by Oxford University Press, and currently serves as Vice President of the International Society for Inventory Research (ISIR). In 2026 he was honoured with one of the inaugural fellowships of the Academy for the Mathematical Sciences.