What is ABC analysis in inventory management?

A way to categorize inventory by the amount of value each group contributes to the total value of inventory. ‘A’ items are the most expensive and less in quantity, while ‘C’ items are least expensive and more in quantity. Managers have better time management of resources when management follows ABC analysis and focuses on ‘A’ items.

How Zapro can help: Zapro’s stock categorization is automatic, so you can use the ABC method in your inventory management process right away.

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