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The budget cannot replenish every SKU. Which comes first?

Compare replenishment under cash, minimum-order and stockout constraints instead of ranking by revenue alone.

Illustration for an article about The budget cannot replenish every SKU. Which comes first?

Three products approach a shortage, but there is not enough cash for every order. Revenue ranking alone is weak: high turnover need not mean high contribution, and a supplier minimum can consume the whole budget.

A practical sequence

  1. Check sellable stock, inbound batches, demand adjusted for out-of-stock days and confirmed supplier lead time for each SKU.

  2. Use purchase cost, unit contribution and potential lost sales from comparable periods. Do not substitute zero for a missing expense.

  3. List constraints: total cash, minimum order, pack multiple, capacity and timing.

  4. Compare a feasible plan with doing nothing. Show which SKUs are excluded and why; a person approves the purchase-order draft.

A worked example

Product A may have high unit contribution but require a 90,000 RUB order under a 100,000 RUB cash limit. Products B and C together may cover risk more reliably. Without current economics and lead times, one ranking cannot settle the choice.

What to verify

A scenario compares choices but does not place orders automatically. Unreliable cost, timing or stock inputs must remain visible beside the output.

Test the decision with a small SKU set in ProfitVena and save the assumptions for review.

Русская версия.

Written byWaiel Ali

CEO of Wicsora LLC

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