A system for resolving demand and supply imbalances includes a supply liability reduction process (SLRP) executable upon identifying an excess component inventory liability. The SLRP includes: a procurement and development assessment sub-process that represents a greatest magnitude of liability; a liability council assessment sub-process that represents a magnitude of liability less than that of the procurement and development assessment sub-process; a sales activities sub-process that represents a magnitude of liability less than that of the liability council assessment sub-process; and a liability write-off sub-process that represents a magnitude of liability less than that of the sales activities sub-process. The SLRP performs one or more sub-processes in an order of the magnitude of liability. The sub-process reduces the excess component inventory liability by: determining alternative end products that use components identified in the excess component inventory liability; and executing for enticing sales of alternative end products.