How do you create SKU's and what are the different methods of creating them?
It is important to create simple, but efficient SKU code system that aligns with your business operations. Follow these steps to start creating your own SKUs. Step 1: Top Level Identification
The first step is identifying which attributes will be used to create the SKU. For example, if you are a material supplier, you might use material type, grade, and size as your attributes. The first 2 or 3 alphabets/digits of an SKU could be used to identify the category, department, supplier, or even manufacturer. Step 2: Assign unique identifiers
Use the middle section of your SKU numbers to give your products distinctive characteristics, such as item type, or subcategory—whatever makes sense for how you've arranged the material you offer. For instance, you might assign "A" for grade-1, "B" for grade-2, "C" for grade-3, etc. Step 3: Finish with a Sequential Number
Setting up an SKU number is simple when you use sequential numbering, like 001, 002, or 003, for the final series. This method also makes it easier to distinguish between older and newer products in a product line. In rare circumstances, it can also be beneficial to link the final series of an SKU number to a supplier product number. Use whatever makes sense logically for the products you sell once more. Step 4: Put them together
Once you have assigned codes to all of your attributes, you can put them together to create your SKU. So, if you are dealing in aluminum grade 2040, the SKU might be "AG2". If you have aluminum grade 6061, the SKU would be "AG6". Step 5: Add SKU numbers to your inventory management system
It is possible to manually establish SKUs and maintain inventory using notebooks or spreadsheets, you must enter the new SKUs into your inventory management system in order to generate sales reports, purchase orders, and other documents. You can also trace product data as like:
Step 6: Create Barcodes & start tracking
- Product name
- SKU number
- Any other distinguishable aspect
The final step is to create scan-able barcodes to put on your products. Scannable barcodes can make warehouse operations faster and more efficient. You can create barcodes using various online tools or purchase them from a third-party provider.
Once you have your barcodes, you can attach them to your products and start tracking inventory levels.