What is dead stock in SAP LO-LIS - Logistics Information System (LIS)?

SAP Term: dead stock

• Component: LO-LIS

• Component Name: Logistics Information System (LIS)

• Description: A key figure in Inventory Controlling for identifying materials with inefficient stock levels, eliminating surplus stocks, and checking control parameters such as safety stock. High dead stock can mean that the safety stock level is set too high. Dead stock is the minimum stock level over a defined period in the past.

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• Key Concepts: 
  Dead stock is a term used in the Logistics Information System (LIS) of SAP to refer to materials that have been stored in a warehouse for an extended period of time without being sold or used. It is considered to be a form of inventory that is not actively being used and has no foreseeable use in the near future. 
  
  How to use it: 
  In SAP, dead stock can be identified by running a report that shows the age of the inventory in the warehouse. This report will show which items have been stored for an extended period of time and are not being used. Once identified, these items can be removed from the warehouse and disposed of or sold at a discounted rate. 
  
  Tips & Tricks: 
  It is important to regularly monitor the age of inventory in the warehouse to identify any dead stock that may have accumulated over time. This will help to ensure that the warehouse is not overstocked with items that are not being used and will help to reduce costs associated with storing and maintaining these items. 
  
  Related Information: 
  Dead stock can also be referred to as slow-moving inventory or obsolete inventory. It is important to note that dead stock can also refer to materials that are no longer needed due to changes in technology or customer demand. In this case, it is important to dispose of these materials in an environmentally friendly manner.