If you manage perishable inventory, FIFO and FEFO are not interchangeable. The rotation rule you choose directly affects waste, compliance, and customer satisfaction.
FIFO
FIFO ships the oldest received stock first. It is simple and works well when shelf life is consistent or expiry is not a concern.
FEFO
FEFO ships the soonest-expiring stock first. It requires expiry tracking at receiving, but it is the right choice for food, pharma, cosmetics, and similar goods.
Decision rule
Use FIFO for non-perishable stock and FEFO for expiry-sensitive items. Many warehouses use both: FEFO for regulated products and FIFO for the rest.
