What is In-Transit Inventory in Retail? Explained

In-transit inventory refers to goods or products that are currently in the process of being transported from one location to another within the supply chain. This phase occurs between the point of origin, such as a manufacturer or distributor, and the final destination, which could be a warehouse or retail store. Monitoring in-transit inventory is crucial for supply chain management, as it allows retailers to track the movement of goods, estimate delivery times, and maintain visibility into the overall flow of products within the distribution network.