> For the complete documentation index, see [llms.txt](https://academy.pakk.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://academy.pakk.io/school-of-erp/practical-erp-workflow-examples/inventory-lifecycle-example.md).

# Inventory Lifecycle Example

Managing inventory effectively is key to ensuring business efficiency. The ERP system tracks every stage of the inventory lifecycle, from goods receipt to dispatch, ensuring that businesses always have an accurate view of their stock levels.

**Steps in the Inventory Lifecycle:**

1. **Stock Receipt:** When goods are received from suppliers, they are logged into the ERP system, and stock levels are updated.
2. **Stock Transfer:** Goods can be moved between warehouse locations, with all movements recorded in the system.
3. **Stock Adjustment:** Inventory adjustments are made for reasons such as damaged goods, theft, or other discrepancies.
4. **Order Fulfillment:** As sales orders are processed, stock is reduced, and inventory levels are updated in real-time.

<figure><img src="/files/sIKqCB9TQp0DKz0uyVC3" alt=""><figcaption><p>Pakk has a very powerful batch-based stock management system that enables accurate stock valuation and control </p></figcaption></figure>


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