How Does Stock Keeping Unit (SKU) Work?
An SKU is made up of digits and letters. This alpha-numeric combination can be used to represent a product’s details such as colour, brand name, model number, and so on. Every firm has its own manner of manufacturing stock keeping units for their products. Following factors must be considered while constructing an SKU:
1. Every SKU must be unique and cannot be reused. In other words, each product must be assigned a unique SKU.
2. The Stock Keeping Unit must be kept simple and short. Keeping a lengthy SKU might be difficult for readers and may fail to operate in an inventory management system.
3. Space and special characters should be avoided at all means since they might be confusing to readers.
4. Alphabets that can be mistaken with numbers should not be utilised. Avoid using alphabets like O, I, and J since they might be mistaken with 0 and 1.