Abstract. This study proposes a method to analyze inventory shrinkage in a smart factory environment using the Internet of Things and Big Data. We developed an algorithm that searches for the loss or misreading point of an object in a parallel and distributed manner using the Hadoop MapReduce framework, and we implemented a web-based anomaly detection system. Through the developed system, the loss/misreading position per point, the total number of loss/misreadings, loss/misreadings versus total yield, and worker-related loss/misreadings can be checked.