Across 1,200 retailers on SaathiX ERP, dead stock (SKUs unmoved for 90+ days) averages 11% of inventory value. In a ₹40 lakh stock base, that's ₹4.4 lakh locked up.
Step 1: Age every SKU
Run a 0-30 / 31-60 / 61-90 / 90+ report weekly. The 90+ bucket is your enemy.
Step 2: Classify (ABC + FSN)
A = top 20% of revenue. B = next 30%. C = bottom 50%. Cross with Fast / Slow / Non-moving. Anything in C-N goes to liquidation.
Step 3: 30-day liquidation SOP
Week 1: 10% off, prominent in POS. Week 2: 20% off + WhatsApp broadcast. Week 3: bundle with A-Fast item. Week 4: return to supplier if possible, else write off.
Step 4: Prevent recurrence
Set reorder + max levels on every SKU. SaathiX ERP will refuse to raise a PO if it would breach max.