Inventory Reorder Point
Combine lead-time demand with a safety buffer.
Your numbers
Reorder point
Business ratio based on your consistent-period inputs. Accounting definitions and industry comparisons may differ.
Scenario comparison
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Formula
Use ROP = dL+S. d is average daily demand, L is lead time in days, and S is safety stock. The reorder point combines lead-time demand with that stock allowance.
Combine lead-time demand with a safety buffer.
Worked example
- Average daily demand
- 50
- Lead time in days
- 7
- Safety stock units
- 100
- Reorder point
- 450 units
Scope and limitations
Business ratio based on your consistent-period inputs. Accounting definitions and industry comparisons may differ.
Inputs are checked for missing values and allowed ranges. A result outside the finite numeric range is not displayed. Rounding affects display, while the calculation uses the model’s numeric precision.
Check your units and assumptions before relying on a result. Changing a label does not convert a currency or physical unit.
Formula version: e554dfc4c602 · Example checked: