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REORDER POINT AND SAFETY STOCK CALCULATOR BY SYMESTIC

Reorder Point and Safety Stock Calculator

Calculate the inventory level that triggers replenishment. Enter safety stock directly or estimate it from cycle service level and daily demand variability.

Your inputs

parts/day
Use the same calendar-day or working-day basis for demand and lead time.
days
From ordering to available receipt, held constant in the statistical model.
Choose a known buffer or the statistical approximation.
parts
Extra inventory beyond expected lead-time demand.
parts/day
Calculate from daily observations. Remove seasonal trends first.
%
Share of replenishment cycles without a stockout, distinct from unit fill rate.

Reorder point

–

Expected lead-time demand

–

Safety stock

–

Coverage at reorder point

–

Safety stock coverage

–

Breakdown

Lead-time demand
Safety stock

Review scenarios

Each scenario changes one input. The second applies in statistical mode. The reorder point is rounded up for whole parts.

20% shorter lead time: new reorder point
20% less demand variability: new safety stock

Recommendations

Check demand and lead time per item. Trigger replenishment from inventory position: available stock plus open receipts minus backorders. Compare the buffer with actual stockouts regularly.

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Reorder Point and Safety Stock Calculator: Guide

1

Enter demand and lead time

Use daily figures on one time basis. Include approval, transport and goods receipt in replenishment lead time.

2

Set the buffer

Enter known safety stock. For the statistical approximation, also enter the standard deviation of daily demand and cycle service level.

3

Review the trigger

The reorder point is rounded up to whole parts. The breakdown separates expected demand from the extra buffer.

The formulas at a glance

Reorder point

d × L + SS

Daily demand d, lead time L and safety stock SS.

Statistical buffer

SS = z × σd × √L

Independent daily demand and constant lead time; z is the standard normal quantile.

Stock coverage

Reorder point ÷ d

Zero daily demand has no finite stock coverage.

Worked example: daily demand of 100 parts

At 100 parts per day, a 10-day lead time and 200 parts of safety stock, the reorder point is 1,200 parts.

ItemCalculationResult
Lead-time demand100 × 101,000 parts
BufferDirect input200 parts
Reorder point1,000 + 2001,200 parts
Coverage1,200 ÷ 10012 days

Limits of the calculation

  • The statistical model assumes constant lead time and independent daily demand. Correlation, seasonal demand and variable lead times require a different model.
  • Cycle service level measures cycles without a stockout. It is distinct from unit fill rate and provides no guarantee.
  • Minimum order quantities, pack sizes and periodic ordering intervals are excluded.

Frequently asked questions

How do you calculate reorder point?

Multiply average daily demand by replenishment lead time and add safety stock. Round up for whole parts.

How is safety stock calculated?

For constant lead time, the approximation is z × standard deviation of daily demand × square root of lead time. You can also enter a known buffer directly.

What z-score corresponds to 95%?

The one-sided quantile is approximately 1.644854. The calculator uses the stored value without rounding it to two decimals.

Is reorder point the minimum stock?

Reorder point triggers replenishment. Safety stock is the extra buffer during replenishment.

What does coverage mean here?

The rounded reorder point divided by average daily demand. This is a calculated duration at constant demand.