Practical guide
Set a reorder point from usage and lead time
StockSignal keeps the demand assumptions behind a replenishment list visible. Start with a row that you can count, measure, and update when usage changes.
Give each item its own row
Enter on-hand units, daily use, supplier lead time, safety days, pack size, and unit cost. Daily use may be fractional when a roll, bottle, or other consumable is tracked over many days.
reorder point = daily use x (lead time days + safety days)
Read the threshold
The reorder point is the expected demand during lead time plus the deliberate safety window. In the illustrative defaults, shipping labels use 35 per day, 5 lead days, and 2 safety days, producing a 245-unit threshold.
With 120 labels on hand, the default label row is already below its 245-unit reorder point.
Separate the plan from the vendor
The worksheet does not connect to stock counts, suppliers, purchase orders, or live prices. Replace the example rows with a counted on-hand value and a dated usage assumption before preparing a real order.
Check your own scenario
Replace the illustrative inputs with measured values and dated specifications.
Open StockSignalMethod and references
Read the full calculation method and its limits
- U.S. Small Business Administration: manage business finances
- Investopedia: reorder point definition and formula
Method and examples reviewed 2026-09-30. Examples are illustrative; input values and specifications are not independently verified.