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PRODUCTS & PURCHASING / 09

Inventory reorder point

Set a simple replenishment trigger from demand, lead time and a safety buffer.

Your starting point

LOCAL · PRIVATE

Sample values are filled in. Change them to make this your own.

A little more clarity

RESULT

Your result will appear here.

Run the sample to see how it works.

FROM INPUT TO ANSWER

Use this tool

  1. Use the same day basis for daily demand and supplier lead time.
  2. Add your chosen safety stock and current inventory position.
  3. Calculate the trigger and review the replenishment action.
WHAT THE NUMBERS MEAN

Reading your result

Replenishment is flagged at or below the rounded-up trigger. Inventory position can be negative when backorders exceed on-hand and incoming stock.

UNDER THE HOOD

How this works

Reorder point = daily demand × lead days + safety stock.

Use the units shown beside each field. For monetary amounts, use one currency throughout; calculations do not convert currencies. Results normally display up to two decimal places. Nonzero values below 0.01 use up to six significant digits; values below 0.000001 use scientific notation (for example, 1E-7 means 0.0000001). Rankings use unrounded values, so displayed scores can look equal without being tied. CSV downloads retain numeric precision. Monetary rounding uses half-away-from-zero. Inputs or results beyond supported precision are rejected.

BEFORE YOU USE THE RESULT

Assumptions & limits

Use inventory position: on hand + confirmed incoming − backorders. Constant average demand; does not predict variability.

Required numeric fields reject blank, malformed and out-of-range values; negative values are allowed only for inventory position. Whole quantities are validated where units must be indivisible.

Results are planning aids based on the values you enter. Check important decisions and documents before using or sharing them.

Take the next step.

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