Reorder Point | Optimize Inventory with Reorder Point
What is a Reorder Point?
Before we get into the details of Reorder Point, what is the definition, formula, importance, benefits of Reorder Point, let me share a small anecdote.
One manufacturing company that produced rolled steel products, ran out of stock of a commonly used bearing. It took almost 12 hours for the company to arrange for the common bearings and production came to a grinding halt till then!
Now, if you consider it carefully, the cost of the bearing was minor, but the resultant impact of production coming to a halt wa...
Read More
