Business Terms Dictionary

Bimodal Inventory

An aggregate inventory view that exhibits a continuous probability distribution with two distinct peaks (local maxima) at the same time. One peak represents inventory shortages and backorders, while the other represents excessive inventory and overstocked positions. This distribution can also be observed in individual items over time, highlighting periods of understocking and overstocking simultaneously. © Copyright 2025 Demand Driven Institute. Used with permission.

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Bimodal inventory signals inefficiencies in stock management. ForgeFlow Cloud ERP helps address this by providing real-time visibility into inventory levels, enabling you to balance demand fulfillment and stock optimization. With its demand-driven approach, it minimizes both shortages and excess stock, ensuring smoother operations and a more agile supply chain.
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