Gombo Tools

Inventory calculator

Reorder Point Calculator

Use this free reorder point calculator to estimate the stock level at which you should place a new order. Enter average daily demand, supplier lead time, and safety stock to calculate your reorder point. It is useful for avoiding stockouts, planning purchases, and keeping inventory available.

Lead time demand

140

Reorder point

190

Result overview

Average daily demand

20

×

Lead time

7

=

Demand during lead time

140

Demand during lead time

140

+

Safety stock

50

=

Reorder point

190

How to calculate reorder point

The reorder point tells you when to reorder before stock runs out. It combines the demand expected during supplier lead time with extra safety stock.

Calculate lead time demand

Average daily demand
Lead time
Lead time demand

Lead time demand = Average daily demand × Lead time in days

Multiply average daily demand by supplier lead time to estimate units needed while waiting for the next order.

Calculate reorder point

Lead time demand
Safety stock
Reorder point

Reorder point = Lead time demand + Safety stock

Add safety stock to lead time demand to set the stock level that should trigger a new order.

How to use this calculator

  • Enter your average daily demand
  • Enter supplier lead time in days
  • Enter your safety stock
  • Review lead time demand
  • Review the reorder point

Examples

Example 1

Average daily demand
20 units
Lead time
7 days
Safety stock
50 units
Lead time demand
140 units
Reorder point
190 units

Example 2

Average daily demand
100 units
Lead time
10 days
Safety stock
200 units
Lead time demand
1,000 units
Reorder point
1,200 units

Tips

Use realistic average demand, not only your best sales day.
Increase safety stock when supplier delays are common.
Review reorder points when demand changes seasonally.
Reorder point does not replace full inventory planning.
Track stock movements regularly to avoid late purchasing.

Want to manage stock before it runs out?

Gombo helps you manage stock, purchases, invoices, reporting, and business operations from one connected platform.

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