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Eventually, an AI that accounted for shrink would be more accurate than any number of cycle counts. Actually, it would not take long, most major retailers have shrink predictions down to two or three decimals, you would just need to train the AI to account for shrink. The most important role of inventory is knowing how much to re-order, which can be done by the AI more easily than any human analysts once you have enough training data. Source: worked in retail management, then inventory software.