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Logistics & production

Inventory reorder point Calculator

Set a stock trigger using demand, lead time, safety stock and commitments. This free inventory reorder point calculator shows the calculation and its assumptions so you can compare your own figures.

How the inventory reorder point calculation works

Reorder point = daily demand × lead time + safety stock. Inventory position = on hand + on order − allocated.

This triggers ordering but does not set the order quantity. Lead time and daily demand must use a consistent calendar or working-day basis.

Using this calculator

  1. Enter your own figures in the labelled inputs. Keep the currencies, units and time periods consistent.
  2. Choose any applicable rate profile, pattern or assumption shown for this tool. Open additional inputs when relevant.
  3. Review reorder point and inventory position and reorder triggered, then read the stated assumptions and eligibility conditions before using the result.

Worked example

This is a static example using illustrative inputs, not facts about you or today’s date. The displayed eligibility selections and assumptions apply only to this example.

See example inputs
Average daily unit demand
40
Replenishment lead time (days)
10
Safety stock units
100
Units on hand
420
Units already ordered
80
Units allocated to customers
60
Reorder Point
500
Inventory Position
440
Reorder Triggered
Yes
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