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Stock Keeping Unit

SKU

A unique identifier assigned to each distinct product or item variant in inventory for tracking and management purposes. SKUs enable precise inventory control, sales tracking, and order fulfillment by distinguishing between different sizes, colors, or configurations of products.

RELATED TERMS

Warehouse Management System

Software that optimizes warehouse operations including receiving, putaway, picking, packing, and shipping of inventory. WMS tracks inventory locations, manages storage space, and coordinates material movement to improve accuracy and efficiency in distribution and fulfillment operations.

Bill of Materials

A comprehensive, hierarchical list of all raw materials, components, sub-assemblies, and quantities required to manufacture a finished product. BOMs serve as the foundation for material planning, cost estimation, and production scheduling, and can include multiple levels for complex assemblies.

Enterprise Resource Planning

Integrated business management software that connects finance, human resources, supply chain, manufacturing, and other core business functions into a single system. ERP provides a centralized database and standardized processes across an organization, enabling better decision-making and operational efficiency.

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