What is an article in logistics?

In terms of logistics, an item is a quantity of goods that is assigned a unique number for identification.

The item is either produced in-house or delivered to the retailer and scanned and recorded using the barcode. After that, the items are sorted to the place intended for them. There are two ways to do this:

The items are stored in two different ways. On the one hand, there is the fixed storage bin assignment, in which fixed storage bins are reserved for specific items. This results in the advantage that the determination of the storage is simple and fast. On the other hand, there is the dynamic storage bin assignment. Here the articles are stored arbitrarily or with parameters at a free storage location. This leads to a large utilization of warehouse capacity.

The importance of each item in the inventory management:

The articles in the stock management, are to be divided according to H.F. Dieckie in an ABC analysis. Accordingly, all A-items have a high share in terms of value, but are found in rather small quantities in the warehouse. B-items have a medium share in terms of quantity and a low share in terms of value, and C-items have a high share in terms of quantity but a lower share in terms of value. In this context, the 80:20 rule is applied. This refers to the distribution, because only 20% of the stored items represent 80% of the total value.


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