Few things are worse than not having the right inventory to meet consumer demands. While many retailers are focusing on improving the shopping experience through mobile websites, ecommerce and new retail POS software, some industry experts suggest merchants should be focusing on developing their supply chains as well.

At the recent Retail Conference in London, retail expert Claire Rayner reasserted the importance of supply chains. She stressed that retailers shouldn't be prioritizing customer engagement models over the improvement of their supply chains.

"It is as if their core commercial processes – supply chain planning and distribution systems – have been de-prioritized by retailers in favor of spending budgets on new apps, mobile websites and so on. I believe that retailers that are not investing in revitalizing the day-to-day operational areas of the business are putting their businesses at risk," says Rayner.

A number of retailers struggle with inventory management – they don't want to overstock, but they do want to be able to meet demands. Better supply chain management is crucial to mitigating those risks.