The Reorder Point is the threshold at which you should order more products to prevent shortages while also avoiding overstock. That way bulk ordering would not be a waste of time. But remembering the reorder point formula isn’t always convenient.
This Reorder Point Calculator will help you quickly calculate when you should reorder a specific product. Simply fill out the fields and click the Calculate button to determine your reorder point.
The Reorder Point is calculated using this equation:
Reorder Point=(Lead Time + Safety Stock + Basic Stock) * Unit Sales Per Day
The number of days between issuing a purchase order and receiving the product(s).
The number of days’ worth of inventory you keep in case of emergency.
The number of days’ worth of inventory you normally keep on hand.
Unit Sales Per Day:
The average number of products you sell each day.
The Reorder Point Calculator is a small part of the advanced inventory management features you will find in Fishbowl software. With Fishbowl, you can keep track of sales trends, seasonal changes in demand, supplier history, inventory levels and many other factors that can influence your Reorder Point. In Fishbowl, the Unit Sales Per Day will also be calculated automatically based on your sales history. With our reorder point calculator, you minimize the risk of extra inventory and have better inventory control. Our software can also help you figure out the optimal reorder point, so you don’t have to keep computing the reorder quantity and reorder level. Your replenishment inventory won’t fall short of customer demand.