FIFO (First In, First Out): the stock rotation method
FIFO (First In, First Out) is the method of always using the oldest ingredients first, reducing losses from expired product.
How to apply FIFO in practice
When restocking, new products go to the back and older ones to the front, with a date label. What arrives today is used only after what was already there — protecting against expiry and waste.
- Older items front, new items back
- Date labeling on each batch
- Less spoilage and a better COGS
FIFO and inventory control
A stock system with FIFO flags batches near expiry and helps decide what to prioritize on the menu. Cutting waste through correct rotation is one of the most direct ways to lower COGS.
FAQ
What's the difference between FIFO and FEFO?
FIFO uses order of entry; FEFO (First Expired, First Out) prioritizes the expiry date. For perishables, FEFO is often even safer.
Does FIFO work for any ingredient?
It's ideal for perishables and dated items. For non-perishables, it keeps stock moving and avoids dead inventory.
How does FIFO lower food cost?
By avoiding expiry losses: less waste means less replacement buying and a lower food cost.