Fulfilment & customer service
Set a reorder point your team can use
Connect demand, replenishment time and usable inventory to a clear stock-review routine.
2 minute read · Practical guide
The key decision: A reorder signal starts a decision; it is not automatically a purchase order.
More on Fulfilment & customer serviceSeparate the stock figures
On-hand stock is not always available stock. Some units may be reserved, damaged, returned or awaiting inspection. Keep those states visible. Incoming stock should only be included when the quantity and expected arrival are sufficiently reliable for the planning decision.
Measure the full replenishment time
Include production, preparation, transport and receiving time relevant to the product. An invoice date or supplier dispatch date may not represent when stock becomes sellable. Record the assumptions and review them when delivery performance changes.
Understand the simple model
An illustrative product selling 10 units a day with a 14-day lead time and 50 units of safety stock has a reorder point of 190 units. The calculation is 10 × 14 + 50. Compare that threshold with inventory position, accounting for commitments and confirmed arrivals. The website tool uses this simple model and states its limitations.
Keep the exception review human
Average demand can hide seasonal peaks, campaigns or a recent stockout. Safety stock is a decision input, not a universal percentage. Review a proposed order against MOQ, storage space, cash availability and the risk of obsolete stock before approving it.
Give the routine a clear owner
Define who reviews the signal, confirms the supplier timing and approves the purchase. Record the decision even when you choose not to order. Over time, compare actual availability and excess stock with the assumptions so the replenishment process improves rather than repeating the same guess.