I've been enjoying the inventory system in...I was going to say Pathfinder Kingmaker, but I realize I've seen it in at least a couple of other games as well. There's a single shared party inventory and then each individual has what they are wearing, a few weapon sets, and a few slots for consumables/usables (the ones you keep tied to your belt for quick access; not the ones deep in your backpack). The shared inventory isn't accessible during combat, so your options are limited to what you planned for, but you get enough slots to have some versatility.
I find that it works really well because you don't have to fiddle around with who is carrying what to avoid encumbrance - either the whole party is encumbered or it isn't. Reducing your options item in combat actually serves to speed combat up a bit and decreases decision fatigue. And it dramatically simplifies the UI - you've got 5 spots for usable items and they're always in the same place. Everything you pick up just goes into the shared party inventory with category buttons at the top, so you can e.g. just see all of the potions. Everything stacks and sorts automatically.
The sell-your-junk option in Kingmaker is pretty good, too. No need to mark items - it's just a single button press with a few options that you can set to specify what counts as junk.
