A material tracking system is provided for tracking material stored on and drawn from a reel. The material tracking system may include a reel, detection element, digital logic components, battery and power components, transceiver and communication components, location receiver, enclosure, analytic component and interface component. One or more sensors relative to the reel may detect a position indicative of forward or reverse reel rotation. A processor may analyze signals to count rotations of the reel, which is savable in memory. A battery may provide power. The system may also record the time and location associated with rotations. A method to operate a tracking material stored on and drawn from a reel using the material tracking system is also provided.