Inventory Errors Drive Hidden Losses
The Hidden Cost of Inventory Inaccuracy

By the D&D Daily staff

Inventory shrink is often associated with theft, fraud, or organized retail crime. While those issues remain important concerns, another source of retail loss frequently receives less attention despite its significant impact on operations and profitability: inventory inaccuracy.

When inventory records do not match what is actually available, the consequences can be felt throughout the business. A product that appears to be in stock but cannot be located may result in a missed sale. Replenishment systems may fail to reorder needed merchandise because inventory counts suggest sufficient quantities already exist. Associates can spend valuable time searching for products that are no longer available, reducing productivity and creating frustration for both employees and customers.

Inventory inaccuracies can stem from a variety of causes. Receiving errors, incorrect item counts, ticketing mistakes, fulfillment discrepancies, administrative mistakes, and process failures can all contribute to inventory records becoming unreliable. In many cases, these losses occur gradually and may not be discovered until a cycle count or physical inventory reveals a problem.

The growth of omnichannel retail has increased the importance of inventory accuracy even further. Services such as buy online, pick up in store (BOPIS), same-day delivery, and ship-from-store depend on real-time inventory visibility. When inventory data is incorrect, retailers risk canceled orders, delayed fulfillment, and damaged customer trust.

As a result, many loss prevention and asset protection teams are expanding their focus beyond traditional shrink investigations. Inventory integrity programs, exception reporting, cycle counting strategies, and technology solutions that improve visibility across the supply chain are becoming increasingly important components of loss prevention efforts.

Retailers are also investing in tools such as RFID, advanced analytics, and automated inventory management systems to identify discrepancies more quickly and reduce the likelihood of errors. While no system can eliminate inaccuracies entirely, improved visibility can help organizations address problems before they grow into larger operational issues.

For retailers seeking to reduce losses and improve customer satisfaction, inventory accuracy is more than an operational concern. It is a foundational element of effective loss prevention, ensuring the right products are available in the right place at the right time.


Safety Ruling Favors Brinks Workers
Unifor wins major workplace safety victory for armoured car workers at Brinks
The Canada Industrial Relations Board has sided with a Unifor member who refused dangerous work at Brinks in Toronto, dismissing the company's appeal and confirming that armoured car workers cannot be directed to work alone without the protection of a guard.

"No worker should ever be forced to choose between their safety and their job," said Unifor National President Lana Payne. "This decision is a powerful affirmation that the right to refuse dangerous work is real and protected under federal law. Armoured car workers face serious risks every day, and no employer can strip away those protections in the name of cutting costs. When our members raise the alarm, Unifor backs them all the way."

The decision stems from a work refusal by an Armoured Car Messenger and member of Unifor Local 112. Brinks had directed two-person crews, normally made up of a messenger and a guard, to separate inside shopping malls and both operate as messengers, leaving workers to collect and carry liability without guard protection. Unifor challenged the arrangement as creating an unacceptable risk to workers.

"This ruling matters far beyond a single workplace," said Samia Hashi, Unifor Ontario Regional Director. "It tells every armoured car carrier in this country that splitting crews and sending messengers out alone, without a guard, is not acceptable. The safety procedures that protect armoured transport workers exist because the work is dangerous, and they cannot be cast aside for the sake of efficiency. Our members at Brinks fought for this, and workers right across the sector are better off for it." unifor.org


Can AI Fill Workforce Gaps?
Physical AI Steps in as Global Workforce Shrinks
U.S. manufacturers are projected to leave 2.1 million jobs unfilled by 2030. In a 2021 study, the Manufacturing Institute estimated that gap could cost the economy $1 trillion in that year alone. In construction, the Associated Builders and Contractors earlier this year projected the industry needed 439,000 additional workers in 2025 just to keep pace with demand.

Companies are deploying AI-powered robots and autonomous equipment not to cut headcount, but because the headcount isn’t there. ManpowerGroup’s 2026 Talent Shortage Survey found 72% of employers globally reported difficulty finding the talent they need. That figure has held above 70% for several consecutive years.

Agility Robotics reported in November that its Digit humanoid robot had moved over 100,000 totes in live commerce operations. The robot now runs across multiple Fortune 500 partners. In April, Agility Robotics detailed deployments at Amazon, Schaeffler Group and logistics provider GXO.

According to a 2024 Manufacturing Dive report, Figure AI’s Figure 02 robots ran 10-hour shifts at BMW’s Spartanburg, S.C. plant over 11 months. The robots processed more than 90,000 sheet-metal cycles on the active assembly line. BMW has since expanded the program to its Leipzig, Germany facility.

In an April report on physical AI adoption among companies in Japan, TechCrunch said Japan’s population declined for a 14th straight year in 2024, with those of working age accounting for 59.6% of the total. That share is projected to shrink by nearly 15 million over the next two decades. “Physical AI is being bought as a continuity tool: how do you keep factories, warehouses, infrastructure and service operations running with fewer people?” Global Brain General Partner Hogil Doh told TechCrunch. Sho Yamanaka of Salesforce Ventures told the news outlet that the country’s labor shortage made physical AI necessary, even urgent. pymnts.com


C-Store Expansion Continues
8 c-store companies entering new states

Super regionals like Wawa, QuikTrip and Sheetz along with chains like Dash In and Yesway are among the retailers targeting fresh markets.

Wawa is continuing to make progress along its multi-year, multi-state roadmap, while Sheetz and QuikTrip revealed their own plans to expand their reach through new builds. Yesway and Wally’s will introduce themselves to fresh markets this year, while Legacy Markets and Pump & Pantry reached new states through M&A.

New state debuts should continue in coming months as well, as Dash In has bought property in South Carolina and Buc-ee’s continues working on its first stores in multiple states. cstoredive.com


Inflation, tax refunds push May retail sales up 6.6%
U.S. consumers kept up their spending despite putting more toward gas, though they got less for their money.

COS names top safety leaders under 35 in 2026 Young Achievers report
Canadian Occupational Safety has released its 2026 Young Achievers special report, recognising 40 of Canada's top safety leaders under 35 who are reshaping the occupational health and safety profession through technical expertise, emotional intelligence, and a commitment to genuine worker protection.

Burlington supports growth with next-gen distribution center

Advance Auto Parts AI-enables same-day fulfillment from stores

Chick-fil-A's reign is over. See who is now the top fast food chain


Publishing Note: The D&D Daily will be closed on Friday, June 19, in observance of Juneteenth. We will resume publishing on Monday, June 22.