Question 1 of 30
A warehouse manager is evaluating the effectiveness of their inventory management practices and is considering whether to implement cycle counting or conduct a full physical inventory. They notice that their inventory discrepancies have been increasing, leading to stockouts and overstock situations. What would be the most appropriate initial step for the manager to take in addressing these discrepancies while minimizing disruption to warehouse operations?
Implement a cycle counting program to regularly verify inventory accuracy without halting operations.
Schedule a full physical inventory count to identify all discrepancies at once, despite potential operational disruptions.
Increase the frequency of inventory audits without changing the current counting method to gather more data.
Reduce the number of items counted in the inventory to streamline the counting process and minimize errors.

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