Several factors can lead to incorrect categorization:
1. Human Error: Mistakes made by employees during data entry or classification. 2. Lack of Clear Guidelines: Absence of well-defined policies on how to categorize different items or data points. 3. Complex Systems: Complicated or outdated software systems that make it difficult to categorize correctly. 4. Misunderstanding of Categories: Employees may not fully understand the distinct categories, leading to incorrect placement.