Item coding,

Definition of Item coding:

1. A way of identifying specific items and categorizing related inventory items. Codes often consist of a stock-keeping unit (SKU) number for bar coding or RFID coding purposes. This code helps identify where each unit is located, other products that may be used in conjunction with a given item, or possible alternative products that may serve a similar purpose. Coding also allows a warehouse tracking system to monitor the quantity of items in inventory and their status. Services may also have an item code assigned for invoicing purposes.