What role does technology play in Uniqlo's inventory management?

The role of technology in Uniqlo's inventory management is primarily focused on optimizing inventory levels and accurately forecasting demand. Utilizing advanced technological tools enables Uniqlo to analyze data patterns and customer behavior, which are critical for making informed decisions about stock levels and product variety. This helps the company respond effectively to consumer trends, ensuring that popular items are readily available while minimizing excess inventory. By leveraging technology, Uniqlo can streamline processes, reduce costs associated with overstocking or stockouts, and enhance overall operational efficiency.

The use of technology does not render manual tracking obsolete, nor does it eliminate the necessity for inventory management altogether. While technology significantly aids in improving these processes, it acts as an enhancement rather than a complete replacement.