Shikongo leather has been experiencing problems with its inventory records. The stock as physical items and the computer-based Warehouse Management System (WMS) are not reconciled. The selection precision is suffering, and the percentage of problems is continuously rising. These issues are also showing up in the amount of work the cycle-count staffs must perform and correct. The task of finding the cause has been left to Mr. Panduleni, the inventory foreman. He is trying to figure out the cause and is starting to wonder just where to start.

As an inventory management expert, you are asked to help Mr. Panduleni.

Explain the importance of inventory product coding in a warehouse? (15 marks)