Slow Moving Stock/Inventory (SLOB)
Slow-moving inventory, or slob stock, is a classification for inventory whereby the current cases on hand exceed projected sales and are unlikely to be sold based on forecasts prior to the product’s expiration date. Simply put, it is excess product. For example, if a manufacturer produced 1,000 cases of a product that expire in a year, and they’ve only sold 30 cases in the first three months following production, this is slow-moving inventory.
Slow-moving inventory can occur for any number of reasons, but it’s usually a result of inaccurate demand planning models, which causes overproduction.
Obsolete stock are products that have have undergone packaging changes, been discontinued, or are out of season. Seasonal items are some of the most common examples. For example, Easter candy is out of season after the Easter holiday.
Related Terms: slow mover
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