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Microsoft Dynamics RMS (Archived)

Warehouse Management - Reorder Point

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Posted on by 30

I have the following conditions. What if:

My average daily issuance is 20 units

My supplier lead time is 3 WORKING days

My supplier's delivery schedule within my area is only every MONDAYS and THURSDAYS

My days of operations are from Mondays to Saturdays

My stocks buffer is 4 days

My safety stock level is 3 days

The question is what will be my reorder point considering all the conditions mentioned and on my reorder point how many units shall I order?

Thank you very much to those who will reply.

maeyks

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  • raelhefn Profile Picture
    raelhefn on at
    RE: Warehouse Management - Reorder Point

    The calculation depend on your storage capacity and usually it is calculated as follow

    Reordering QTY = Restock Level - Current Stock ; when: Current Stock <= Reorder Point

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