Glossary

Overstock

Holding more of a product than you're likely to sell in a reasonable time.

Overstock ties up cash, takes up space, and can end in discounts or write-offs. It usually comes from ordering on a flat average through a slow season, or from rounding up to a large minimum order without checking how long the stock will last.

Checking days of cover before you order is a quick way to catch it.

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