reorder point
reorder level

Reorder point, a term used in supply chain management.

If the inventory has fallen below a stated amount, s, termed the reorder point, place an order for more units.

The reorder point for replenishment of stock occurs when the level of inventory drops down to zero.

Lead time: the delay between the time the reorder point (inventory level which initiates an order) is reached and renewed availability.

They may be useful but mundane systems that simply keep track of inventory, for example, and print out reorder points and cost allocations.

It assumes your reorder point is positive, that orders are in unit increments and inventory is monitored continuously so you cannot stock out prior to reordering.

If the level of inventory is less than the specified reorder point s, the retailer "orders up to" the specified level S. This is still the most common practice today.

The reorder point ("ROP") is the level of inventory when an order should be made with suppliers to bring the inventory up by the Economic order quantity ("EOQ").

Inventory control includes a perpetual inventory system with reorder points, automatic adjustment of COGS and inventory from Sales invoices, multiple per-item vendors, customers price points, general ledger account assignments.

As a result the reorder point is always higher than zero, and if the firm places the order when the inventory reaches the reorder point, the new goods will arrive before the firm runs out of goods to sell.