How do you identify underperforming SKUs?

Dec 23, 2020 ... SKU rationalization refers to the process of determining whether certain products should be continued, in the effort of reducing the total number of items. Jun 4, 2024 ... This process, known as SKU rationalization, eliminates the lowest-margin product versions and sizes to improve profitability and simplify the ... Feb 22, 2024 ... A range of formulas can help you drive SKU rationalisation and make more informed decisions about what items to focus on or eliminate. Analyze and compare SKU cost and profit performance arms you with the information required to decide which products to change, add, maintain, or retire from ... Sep 15, 2022 ... SKU rationalization is the process of analyzing your current inventory and getting rid of products that aren't selling well. During your ... SKU rationalization yields efficiency and cost-effectiveness. Customer improves cash flow, saves space and increases profits by reducing inventory. Mar 14, 2024 ... SKU rationalization is an analytical process that evaluates the SKUs within a product portfolio to enhance operational efficiency, reduce costs, ... SKU Rationalization: Pruning Your Way to Better Performance. Uncontrolled product proliferation can play havoc with a company by adversely affecting revenue, ... Apr 13, 2025 ... SKU rationalization is the systematic process of analyzing a company's product portfolio to identify which items are essential and profitable ... Detailed step-by-step instruction on how to conduct the analysis: · 1. Collect sales and profitability data per SKU · 2. Calculate SKU profitability. · 3.