Stockout Prevention & Safety Stock

Reorder Point Calculator: Optimal Stock Replenishment

Never run out of best-selling inventory. The Reorder Point identifies the exact minimum stock threshold where you must place a replenishment purchase order to cover supplier lead times.

Reorder Point Formula Inputs
ROP = (D × L) + SS
Average units sold or manufactured per day.
Days from placing the PO until goods arrive in your warehouse.
Emergency reserve to guard against supplier delays or sudden demand spikes.
Need help calculating Safety Stock?
Replenishment Threshold
Reorder Point (ROP)
560 Units
Lead Time Demand (D × L): 420 Units
Safety Stock Reserve (SS): 140 Units
Safety Stock (25%) Lead Time Consumption (75%)
Trigger Rule: As soon as inventory drops to 560 units, place a replenishment order immediately.
Why Reorder Point Matters

If you order too late, you experience out-of-stock lost sales and unhappy customers. If you order too early, your capital is tied up in excess warehouse holding costs. The Reorder Point calculation synchronizes supplier dispatch with your consumer burn rate so fresh stock arrives precisely as your current batch hits safety reserve levels.

Automatic Low Stock Alerts in MakeGSTBill

Set custom reorder levels for every item in your product master. Receive automatic notifications whenever stock runs low.

Set Up Stock Alerts Free