FEFO (First Expired, First Out)
Quick answer
The rule of shipping the batch with the nearest expiry date first, essential for perishable products.
Key takeaways
- FIFO - the earliest-received batch leaves first
- FEFO - the earliest-expiring batch leaves first
What FEFO is
FEFO (First Expired, First Out) ships the batch with the nearest expiry date first, not necessarily the oldest received (which is FIFO). Essential for food, pharma, cosmetics, chemicals.
FEFO vs FIFO
- FIFO - the earliest-received batch leaves first
- FEFO - the earliest-expiring batch leaves first
When batches arrive in a different order than they expire (e.g. batches with different dates), FEFO is the only correct rule to avoid on-shelf expiry.
Why it matters
Without FEFO: expired products in stock (direct loss), retailer returns, compliance risks. Retailers often require a minimum residual shelf life at delivery (e.g. 2/3 of shelf life).
How CRMconnect helps
The CRMconnect WMS tracks batch and expiry for each unit, directs picking on FEFO and blocks shipping of batches below the retailer's minimum residual shelf life.
Real-world example
A dairy distributor lost ~1.5% of stock to expiry. With FEFO in CRMconnect WMS and blocking batches below 2/3 shelf life, expiry losses dropped to 0.2%, and retailer returns for insufficient shelf life disappeared.
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Frequently asked
Difference between FEFO and FIFO?+
FIFO ships the first-received batch. FEFO ships the first-expiring batch. When receipt order differs from expiry order, only FEFO prevents on-stock expiry.
Does FEFO require batch tracking?+
Yes. FEFO is impossible without batch and expiry records for each unit - a core function of a WMS with traceability.
What is minimum residual shelf life?+
The percentage of shelf life that must remain at delivery (e.g. the retailer requires at least 2/3). The WMS can block shipping batches that don't meet the threshold.
Where CRMconnect fits
Related terms
Inventory valuation methods (FIFO, LIFO, WAC)
Accounting rules to determine the cost of goods leaving stock: first-in-first-out, last-in-first-out, or weighted average cost.
LogisticsBatch traceability
The ability to track a product batch across the whole chain, from supplier to end customer, for recall and compliance.
LogisticsWMS (Warehouse Management System)
The system orchestrating physical warehouse operations: receiving, putaway, picking, packing, shipping.
OperationsStocktaking (physical inventory)
The process of physically verifying inventory and reconciling it with book records to establish the real asset position.