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Posted by Nexus Global ● Mar 27, 2020

Implementing FIFO in Your Stockroom: Why It Makes a Difference

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Many organizations underestimate just how much value lies in managing inventory turnover well. One often-overlooked method that can help is FIFO (First In, First Out). The idea is simple: use the oldest inventory first. But in practice, FIFO ensures stock is moved regularly, not sitting expired or forgotten in a storeroom.

Stockroom parts often have shelf lives. Components, consumables, repair parts—when items sit unused, they degrade, become obsolete, or lose value. Adopting FIFO turns inventory over in regular cycles. It helps maintenance teams avoid waste and keeps storerooms clean, organized, and aligned with needs.

For industries across North America, Europe, Asia, and beyond, it's not just an operational tactic—it supports reliability, quality, safety, and compliance. Inventory that is checked often gives visibility into potential issues: expiration, damage, or misplacement. With FIFO, those issues are more likely to be caught early.

Another strong benefit is better alignment between storeroom operations, maintenance scheduling, and procurement. When parts are issued in the right order, workflows become smoother. Maintenance teams get what they need when they need it. Procurement teams can see what moves quickly and what lingers unused. All of this supports smarter decision-making about stock levels and ordering.

If you want to understand how FIFO can be implemented practically in your organization—how to set up rotation, track shelf life, and embed FIFO into everyday work—check out the “Quarantined – Day 7 – Implementing FIFO” video. It walks through what works and what to watch for.


Frequently Asked Questions

Q: What exactly is FIFO?
A: FIFO stands for First In, First Out. It’s an inventory approach ensuring the oldest items are used before newer ones.

Q: Why does FIFO matter for different regions?
A: Because storage conditions, supplier delivery times, and regulatory requirements vary by geography—regions benefit when inventory is managed to avoid waste and ensure compliance.

Q: How can I start implementing FIFO in my facility?
A: Begin by organizing inventory to clearly mark oldest stock, training staff on rotation practice, and integrating FIFO workflows into your maintenance or storeroom system.

Topics: Work Management, Video, Quarantined, FIFO

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Recognized globally, across various industries, for delivering sustainable solutions that optimize both the organization’s assets and processes to yield a ROI of 10:1 or greater. Nexus Global Business Solutions, Inc. has been a worldwide leader in asset performance management and maintenance consulting, coaching and training for 15+ years.

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