When glass or ceramics companies combine, the product catalog can double overnight—here’s how to unify without sacrificing service.
Mergers and acquisitions are increasingly common in the North American industrial materials sector, especially among mid-sized glass and ceramics distributors seeking scale. But when two catalogs collide, the result can be SKU overload. A product that once sold well for one distributor may now be redundant—or worse, untraceable in the merged ERP.
Whether you’re merging two float glass lines, combining refractories in a buyout, or absorbing a specialty ceramics catalog, the SKU landscape post-deal can be chaotic. Here’s how to streamline wisely.
Step 1: Map Both SKU Universes to a Common Taxonomy
Before cutting any SKUs, normalize the naming, specs, and units of measure across both product sets. A 3mm tempered clear panel may be coded as GL-TMP-03-CL in one system and 03CL-TMP in another. Consolidating naming conventions is essential for identifying actual overlap versus perceived duplication.
Invest in data harmonization. Bring in product managers, operations, and sales leads from both legacy companies to develop a master list with unified attributes: thickness, coating, edgework, country of origin, and performance specs.
Step 2: Identify Redundancies by Function, Not Just Code
Some SKUs may appear different but serve the same customer need. A 6.4mm laminated safety glass and a 6.5mm variant might both be used interchangeably by regional contractors. Group SKUs by application: storefront glazing, oven window panels, kiln liners, etc. Within each group, identify consolidation opportunities without compromising technical compliance.
Step 3: Rank by Velocity, Margin, and Coverage
Using merged sales data, build a SKU prioritization matrix:
Velocity: How often is this item sold?
Margin: What is the gross profit per unit?
Coverage: How many customers or regions depend on it?
This triage reveals which SKUs are strategic, which are marginal, and which are deadweight. Focus initial cuts on low-margin, low-velocity SKUs with minimal customer dependence.
Step 4: Communicate Early with Key Customers
Some customers will have legacy loyalties to specific SKUs. Before sunsetting a product, engage these accounts. Offer substitutes with comparable specs, and where needed, set up made-to-order pathways. For example, a custom-tinted annealed glass may not warrant shelf stock, but can still be sourced on request with MOQ thresholds.
Transparency builds trust and gives customers time to adjust. Surprises lead to lost orders and credibility hits.
Step 5: Phase Out in Layers
Don’t yank SKUs overnight. Start with back-office changes (e.g., merging part numbers) before adjusting warehouse layout. Use dual-coding temporarily in ERP for audit trails. A 3-stage sunset—soft deprecation, limited stock, full retirement—allows sales and supply chain teams to adapt and inform stakeholders gradually.
:
Post-merger SKU consolidation isn’t about cutting for cost—it’s about cutting smart. Done right, it creates a tighter, more agile catalog that honors both legacy companies’ strengths. In the glass, ceramics, and refractories world, where product fit is critical and lead times matter, the winners are those who trim the fat without bleeding the muscle.
