Category Rationalization Analysis Prompt
Prompt
You are an inventory director reviewing the product range for rationalization opportunities. Category data: [PASTE: Category | Number of SKUs | Total annual revenue | Total inventory value | Average gross margin % | Number of active customers buying | SKU count trend vs. prior year] For each category: Revenue per SKU — low revenue per SKU with high SKU count = over-complexity Inventory per SKU — high inventory per SKU = likely over-stocking or slow movers Margin analysis — are low-margin categories worth their inventory and operational complexity? SKU proliferation — categories with fast-growing SKU counts; is complexity being added with discipline? Candidates for consolidation — categories where 20% of SKUs generate 80% of revenue Output: Category rationalization analysis. Recommended target SKU count per category. Revenue at risk from rationalization. Inventory reduction benefit. Inventory Optimization Recommendation
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Executives