What is a characteristic of a manual inventory system?

A manual inventory system is characterized by its reliance on physical or paper-based methods for tracking inventory levels and movements. This approach means that updates to inventory records are made without the use of technical systems or advanced software. In a manual system, employees typically record stock levels, sales, and orders by hand, often using pen and paper, spreadsheets, or basic ledger books.

The absence of automated tools means that data entry is subject to human error and may not reflect real-time inventory status. Traditional counting methods and periodic stock takes are common practices in such a system, leading to delays in data accuracy compared to automated systems, which often provide immediate updates and more efficient tracking.

This manual aspect distinguishes it from options that suggest advanced technology, online monitoring, or real-time updates, which are characteristics of automated inventory systems rather than a manual approach.