Estimate the stock level at which replenishment should be triggered from average demand, lead time and a safety-stock allowance.
Reorder Point Calculator
Formula
How to use the result
Compare the result with actual demand variability, supplier reliability, minimum order quantities and service expectations.
What the calculator does not know
These tools are general inventory-planning aids, not accounting, tax, regulated-product, hazardous-material, food, pharmaceutical or safety-stock policy advice. Requirements for controlled, perishable or safety-critical inventory can be materially different; use applicable regulations, contracts, manufacturer requirements and qualified professional guidance.
Improve the estimate
Keep the inputs used for the decision and compare the estimate with actual results. A simple calculator is most useful when it makes the assumptions visible enough to learn from the difference.