SKU Grading

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Quick Answer: SKU Grading assigns a performance tier β€” A, B, or C β€” to each product variant in your catalog. Grades help you filter the Production Plan to focus on priority SKUs, and Mo uses them to calibrate demand projections.

SKU Grading is a classification system that ranks each product variant by performance relative to the rest of your catalog. Every SKU receives a letter grade (A, B, or C) that reflects how it compares to your other items. This lets planners focus time and inventory resources on the products that matter most.

What Are the Grade Tiers?

Grade
Meaning
Effect on Mo's Demand Projections

A

Highest-performing SKUs

Increased projections

B

Mid-tier SKUs

Moderate projections

C

Lowest-performing SKUs

Reduced projections

None

Not yet graded

No grade-based adjustment

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Grades are based on ABC Analysis β€” an industry-standard framework rooted in the Pareto principle, where roughly 20% of SKUs typically drive 80% of revenue. A = top performers, B = middle tier, C = bottom tier.

Where Do Grades Appear in Moselle?

Grades are used in two places:

Production Plan The primary place grades are visible. Use the grade filter to narrow the Production Plan table to only A, B, C, or ungraded SKUs. This helps planners focus on high-priority items without scrolling through the entire catalog.

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Mo AI Chat Mo understands SKU grades and uses them when reasoning about forecasts and demand planning. When you ask Mo about a SKU, grade context influences how it interprets and adjusts projections.

How to Filter by Grade in the Production Plan

  1. Navigate to Replenishment in the left sidebar

  2. Open your Production Plan

  3. Click the filter controls at the top of the table

  4. Select Grade and choose one or more tiers (A, B, C, or None)

  5. The table updates to show only matching SKUs

Key Definitions

SKU (Stock Keeping Unit) : A unique identifier for a specific product variant. "Red Hoodie, Size L" and "Red Hoodie, Size M" are two different SKUs.

SKU Grading : The process of assigning a performance tier (A, B, or C) to each SKU based on how it compares to the rest of your product catalog.

ABC Analysis : The industry framework behind SKU grading. Classifies inventory into three categories β€” A (top performers), B (middle), C (bottom) β€” to help planners prioritize resources.

Grade Filter : A filter control in the Production Plan that narrows the table to show only SKUs of a selected grade tier.

Demand Projection : A forecast of how many units of a SKU will be sold in a future period. Mo adjusts projections up or down based on a SKU's grade.

Frequently Asked Questions

How are grades assigned?

Grades are calculated automatically by Moselle based on each SKU's performance relative to the rest of your catalog. You do not need to assign grades manually.

Can I change a SKU's grade?

Grades are determined by Moselle based on catalog-wide performance data and are not manually editable.

Why does a SKU show "None" for its grade?

A grade of None means the SKU has not yet been graded β€” typically because it lacks sufficient sales history. No grade-based adjustment is applied to these items.

Do grades affect anything other than the Production Plan filter?

Yes β€” Mo uses grade context when generating and adjusting demand forecasts in AI chat. Higher-graded SKUs receive increased demand projections; lower-graded ones receive reduced projections.

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