What is the purpose of the First In/First Out (FIFO) system?

The First In/First Out (FIFO) system is primarily intended to ensure that chemicals and perishable items are used within their shelf life. By following this method, the oldest stock, which has been in storage the longest, is used first. This minimizes the risk of using expired products, as it promotes the consumption of items based on their arrival or production date. Implementing FIFO helps maintain safety and efficiency in managing inventory, especially in contexts where the quality and efficacy of products can degrade over time.

Other inventory management practices may focus on different aspects, but FIFO specifically addresses the timely usage of products, thereby enhancing safety and compliance with health regulations. It is critical in agricultural mechanics and similar fields where the effective use of materials directly impacts operational success.