For the leading 20% of your SKUs by dollar value, created a table of SKU, complete dollar worth, amount, and also days of supply. Make sure that if there is no demand for the following three months, you get in a huge number (e.g., 999) instead of 0 as the days' supply. Arrange the table in coming down order of days of supply. If the days of supply for every one of these items is higher than, say, twice their manufacturing cycle plus lead-time to one of the most distant storage facility in the region, proceed. Otherwise, reduce the checklist to just those for which the days of supply is more than that worth.
Credit: Tutor2u
