Inventory is the raw materials, work- -in-process products and finished goods that are considered to be the portion of a business's assets that are ready or will be ready for sale. Inventory represents one of the most important assets of a business.The paper makes an attempt to understand the importance of inventory, Inventory issue and then to present a conceptual methodology for inventory issue.The objective of this paper are:1. To understand the concepts of inventory and inventory management in supply chain.2. To highlight the inventory issue in current business.3. To highlight various inventory issue in industry.4. To present a conceptual methodology for related issue.The paper is organized as after the literature review a conceptual methodology for inventory related issue is presented. Finally, concluding remarks with some directions for future research are provided.