SKU

What is SKU?

SKU stands for stock keeping unit. It is a valuable inventory management tool that assigns a unique identifier to items that are for sale. It usually contains all the unique characteristics that distinguish an item from other item types. The stock keeping unit is sometimes represented by a bar code, just like the one you can see in supermarket items. It is unique for each company, and each firm creates its own way of generating their Stock Keeping Unit, but they are typically composed of eight alpha-numeric digits. The SKU is similar to a UPC (Universal Product Code), which is a unique code that identifies an object. So, for example, a bag of chips sold at both Albert’s Superstore and Bob’s Mart, will have the same UPC but different SKU.

Additional Resources

CFI is a global provider of financial modeling courses and of the FMVA Certification. CFI's mission is to help all professionals improve their technical skills. If you are a student or are looking for a career change, the CFI website has a multitude of free resources to help you jumpstart your Career in Finance. If you seek to improve your technical skills check out some of our most popular courses. Below are some additional resources for you to further explore:

 

The Financial Modeling Certification