Managing sluggish and near-expiry inventory is a “silent risk.” It ties up cash, clutters warehouse operations, and eventually becomes write-offs, heavy discounting, or returns. Many businesses only react when it’s almost too late—when expiry is near and options are limited. The most effective approach is a combination of prevention and early rotation, not last-minute action.

In Saudi Arabia, the problem becomes even more costly when inventory is spread across multiple customer types and cities. If a business cannot reposition and distribute efficiently, rotation plans remain “on paper.” That’s why successful rotation is built on two things: strong internal discipline (visibility, alerts, issuing rules) and reliable execution (fulfillment and distribution capability).

Below are practical steps any supplier, distributor, or healthcare-related business can apply to reduce near-expiry losses and improve inventory turnover.

1) Make the Risk Visible With Simple Reporting

You can’t fix what you can’t see. The first step is to make sluggish and near-expiry inventory visible with simple, repeatable reports.

Track These Categories Weekly

• Slow movers over a defined period (e.g., no sales for 60–90 days)

• Near-expiry items in the next window (e.g., expiring in 90–180 days, depending on category)

• Dead stock with no movement at all (e.g., 6–12 months)

Segment Inventory Into Clear Buckets

A practical segmentation is:

• Fast

• Medium

• Slow

• Dead

• Near-expiry (as a separate priority bucket)

This structure helps teams act early. It also stops the “we didn’t know” problem that leads to sudden write-offs.

2) Set Early Expiry Alerts (So You Have Options)

Early visibility gives you choices. Without alerts, inventory problems appear only when expiry is close—and by then the only option may be deep discounting or disposal.

Practical Alert Windows

Choose alert windows based on product type:

• Higher-sensitivity products: earlier alerts

• Standard consumables: later alerts

What matters is consistency. Early alerts allow you to:

• Reposition stock to higher-demand locations

• Adjust replenishment before overbuying repeats

• Coordinate promotions and sales planning

• Prepare customers for planned consumption timing

3) Issue Inventory by Nearest Expiry (FEFO)

A core discipline for rotation is FEFO (First Expired, First Out). This means you issue the stock with the nearest expiry date first.

Why FEFO Works

• Reduces waste automatically

• Builds discipline into daily picking

• Prevents newer stock from “jumping the queue”

• Improves audit readiness and traceability

Even strong rotation plans fail if the warehouse issues inventory randomly. FEFO turns rotation into a habit.

4) Fix the Root Causes—Not Just the Symptoms

Rotation actions can reduce current risk, but if the root cause remains, the same buildup will happen again. Common causes include:

• Overbuying vs. real demand (purchasing based on hope, not data)

• Too many SKUs with unclear movement and duplication

• Weak regional coverage that limits stock repositioning

• Market shifts and competition changing demand patterns

The goal is to change the system that created sluggish stock in the first place. That could mean tightening reorder points, standardizing SKUs, or improving forecasting.

5) Apply Realistic Rotation Actions That Move Inventory

Once risk is visible, rotation becomes a commercial and logistics exercise—not just a warehouse task.

Practical Rotation Actions

• Reposition stock to higher-demand regions or customer segments

• Align promotions to move specific near-expiry items (targeted, not random)

• Tighten reorder rules for slow movers (lower max levels, longer review cycles)

• Coordinate sales planning around rotation priorities

• Bundle or substitute where clinically/commercially acceptable (category-dependent)

The key is realism: rotation must match where demand actually exists and what your distribution network can execute quickly.

6) Tie Rotation to Fulfillment and Distribution Capability

Rotation works only when you can fulfill and distribute efficiently—especially across multiple cities and customer types. If moving stock from City A to City B takes too long, your rotation window closes and expiry risk increases.

This is why near-expiry management is not only a reporting issue. It’s an execution capability issue.

How Rabiyah Logistics Supports Rotation Inside KSA

Rabiyah Logistics supports suppliers with warehousing, structured storage operations, order preparation, domestic transport, and shipment consolidation—helping improve inventory rotation through reliable fulfillment and distribution execution across Saudi Arabia.

With a logistics partner that can move inventory between locations efficiently, businesses can:

• Act early on near-expiry alerts

• Reposition stock to higher-demand regions

• Reduce write-offs by improving FEFO execution and cycle discipline

• Maintain smoother order fulfillment during rotation campaigns

FAQ

What’s the difference between slow movers and dead stock?
Slow movers still move occasionally, while dead stock shows no movement for an extended period.

What is FEFO and why is it important?
FEFO means First Expired, First Out—issuing the nearest expiry stock first to reduce waste.

When should expiry alerts start?
It depends on product type, but the key is to start early enough to allow repositioning and sales actions.

Conclusion + CTA

Early alerts + disciplined FEFO issuing + realistic rotation actions—supported by strong fulfillment and distribution—can significantly reduce near-expiry losses. If you want rotation to be more than a report, you need a logistics model that can execute quickly across KSA.

CTA: If your business is struggling with sluggish stock or near-expiry exposure, Rabiyah Logistics can support structured warehousing and distribution execution to improve rotation performance and reduce waste.