Posted in Operations and Supply Chain Terms, Total Reads: 1797

Definition: Shrinkage

Shrinkage refers to loss of inventory that has caused due to various factors including errors, theft, fraud, transit damage, etc. among all these factors theft is the biggest reason for shrinkage.

It is the deficit between the actual and the recorded inventory.


Browse the definition and meaning of more terms similar to Shrinkage. The Management Dictionary covers over 7000 business concepts from 6 categories.

Search & Explore : Management Dictionary

Share this Page on:
Facebook ShareTweetShare on Linkedin