SKU Velocity

Term from Warehousing industry explained for recruiters

SKU Velocity refers to how quickly specific products (SKUs - Stock Keeping Units) move through a warehouse, from arrival to shipment. Think of it like tracking how fast different items sell and move out of the warehouse. It's an important measure in warehouses because it helps managers decide where to place items (fast-moving items need to be easily accessible), how much staff is needed, and how to organize the space efficiently. This concept is also sometimes called "inventory turnover rate" or "stock movement speed."

Examples in Resumes

Improved SKU Velocity by 40% through strategic product placement in the warehouse

Analyzed SKU Velocity patterns to optimize picking routes and reduce fulfillment time

Created reports tracking SKU Velocity and Stock Movement to enhance inventory management

Typical job title: "Warehouse Managers"

Also try searching for:

Inventory Manager Logistics Coordinator Warehouse Supervisor Supply Chain Manager Operations Manager Inventory Control Specialist Distribution Center Manager

Example Interview Questions

Senior Level Questions

Q: How would you use SKU velocity data to improve warehouse layout and operations?

Expected Answer: A strong answer should explain how they would analyze movement patterns to place fast-moving items in easily accessible locations, adjust staffing based on busy periods, and optimize picking routes to reduce travel time.

Q: How do you balance SKU velocity with other warehouse management priorities?

Expected Answer: Look for answers that discuss considering storage space, labor costs, seasonal changes, and how to maintain efficiency while keeping both fast and slow-moving items organized effectively.

Mid Level Questions

Q: What metrics do you use to track SKU velocity?

Expected Answer: Candidate should mention tracking time from receipt to shipment, number of units moved per day/week/month, and how they use this information to make practical warehouse decisions.

Q: How do you handle seasonal changes in SKU velocity?

Expected Answer: Should discuss planning for busy seasons, adjusting storage locations based on expected demand, and maintaining flexible space allocation.

Junior Level Questions

Q: What is SKU velocity and why is it important?

Expected Answer: Should be able to explain that it measures how quickly products move through the warehouse and why this matters for organization and efficiency.

Q: How do you identify fast-moving versus slow-moving items?

Expected Answer: Should demonstrate basic understanding of tracking product movement and using simple reports or systems to monitor which items move quickly or slowly.

Experience Level Indicators

Junior (0-2 years)

  • Basic understanding of inventory tracking
  • Familiarity with warehouse management systems
  • Basic data entry and report reading
  • Understanding of storage procedures

Mid (2-5 years)

  • Analysis of movement patterns
  • Inventory optimization
  • Team coordination
  • Process improvement implementation

Senior (5+ years)

  • Strategic warehouse layout planning
  • Advanced inventory management
  • Team management and training
  • Operations optimization

Red Flags to Watch For

  • No hands-on warehouse experience
  • Unfamiliar with basic inventory tracking systems
  • Poor understanding of storage optimization
  • Lack of experience with inventory reporting tools