Dead stock is cash you cannot use. Most businesses have more of it than they think, and it only shows up when someone looks.
Define it
| Class | Typical rule |
|---|---|
| Slow moving | Low sales in the last 90 days |
| Non moving | No sales in 180 days |
| Dead | No sales in 365 days or obsolete |
| Excess | More than N months of forecast demand |
Set the limits that fit your trade.
Clearing options
- Discount or bundle with fast movers
- Offer to key customers first
- Return to supplier where allowed
- Transfer to a location that sells it
- Scrap or donate and write off with approval
Prevention
- Order by reorder point and forecast, not habit
- Review inventory health monthly
- Question special bulk deals
- Retire products you will not reorder
In NexoraIMS
Inventory health shows value in non-moving, excess and dead stock with ABC-XYZ classes and a health score. See inventory analytics and inventory turnover.
Related guides: Inventory Management Software in India (complete guide)
Batch & Expiry Tracking SoftwareReorder Point & Replenishment SoftwareInventory Analytics & ABC AnalysisABC Analysis in InventoryInventory Turnover RatioSafety Stock Formula
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