HUL will implement a cost-saving strategy involving reducing and rationalizing the number of stock-keeping units (SKUs) that

it sells. SKU is a computerized marking of every product so that there are data records of each. Analysts say that the number of SKUs has declined from 2,000 three years ago, to around 1,200 in the last fiscal; and the process continues. With less than 30% of SKUs contributing to at least 75% of profits, rationalization is the way to go, they say. HUL has also decided to reduce working capital and pare plans to expand capacity. To adapt to changing market dynamics, it has already switched to a monthly planning cycle, from an annual one