SKU Line and SKU Line Group
Items in a warehouse are assigned to SKU Lines. Multiple SKU Lines are further grouped into SKU Line Groups. The groups could be determined based on the physical characteristics of the items and the effort required to handle the items. Placing items in different groups helps set the appropriate goal for each SKU Line Group.
For example, appliances and electronic items in a warehouse could be categorized into SKU Lines and SKU Line Groups as shown below:
| Item | SKU Line | SKU Line Group |
|---|---|---|
| Watch | Light Weight Electronics | Light Weight Products |
| iPhone | ||
| Hand Mixer | Light Weight Appliances | |
| Egg Beater | ||
| Laptop | Medium Weight Electronics | Medium Weight Products |
| Microwave | ||
| Scanner | ||
| Printer | ||
| TV | ||
| Stove | Medium Weight Appliances | |
| Oven | ||
| Microwave | ||
| 84" Inch TV | Heavy Weight Electronics | Heavy Weight Products |
| Office Printer | ||
| Refrigerator | Heavy Weight Appliances | |
| Washer | ||
| Dryer |
In the above example, different goals can be set for each SKU Line Group. For example, it’s possible to handle 100 units of Light Weight Products in an hour. However it would probably take about 1 hour to move just 1 unit of a Heavy Weight Product.