Why do you need group by?
this gives me one result for each unique inventory code and the first variation of that inventory item is selected.
With one unique result, there's nothing else to order by. :-)
Run this complete test, you'll see it works.
create table test (id int(11) primary key auto_increment, title varchar(255) not null, inventory_code varchar(6) not null default '', variation_number int(11) not null);
insert into test (title,inventory_code,variation_number) values ('Zebra','Z104',12345);
insert into test (title,inventory_code,variation_number) values ('Zebra','Z101',12345);
insert into test (title,inventory_code,variation_number) values ('Zebra','Z101',12311);
insert into test (title,inventory_code,variation_number) values ('Zebra','Z101',12310);
insert into test (title,inventory_code,variation_number) values ('Fragrance','F220',59681);
insert into test (title,inventory_code,variation_number) values ('Fragrance','F189',58999);
insert into test (title,inventory_code,variation_number) values ('Fragrance','F220',58123);
insert into test (title,inventory_code,variation_number) values ('Fragrance','F220',45123);
select * from test order by inventory_code
asc, variation_number
desc, title
asc;
+----+-----------+----------------+------------------+
| id | title | inventory_code | variation_number |
+----+-----------+----------------+------------------+
| 6 | Fragrance | F189...........|............58999 |
| 5 | Fragrance | F220...........|............59681 |
| 7 | Fragrance | F220...........|............58123 |
| 8 | Fragrance | F220...........|............45123 |
| 2 | Zebra.....| Z101...........|............12345 |
| 3 | Zebra.....| Z101...........|............12311 |
| 4 | Zebra.....| Z101...........|............12310 |
| 1 | Zebra.....| Z104...........|............12345 |
+----+-----------+----------------+------------------+
Since the inventory codes begin with the same letter as the title, the sorting still appears to sort by title. You'll get different results if this is not the case, but you can see . . . group by is not needed.