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Inventory Cost and Stockout Diagnosis

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Problem

Scenario

You are looking at pharmacy operations for a business where inventory spend is climbing, but patients are still encountering frequent out of stocks. Leadership wants to know whether the issue is poor purchasing, weak allocation, bad forecasting, or operational waste. You need to identify the first metrics to review so you can separate higher inventory investment from actual product availability.

Question

If pharmacy inventory costs are rising but stockout rates remain high, what metrics would you investigate first?