Set safety stock targets based on product performance & desired customer service level
The system automatically optimizes safety stock to account for volatility in demand, and variability between declared and actual vendor lead-times
Avoid bringing additional products that have a low chance of selling and lead to overstocks
Ensure a maintained optimal In-Stock % on your best performing products
Retalon's planning solution is powered by predictive analytics to provide accurate demand forecasts
All Retalon solutions are fully integrated in a common predictive analytics platform.
In order to maintain the right amount of inventory retailers need to account for product sales volume, procurement intervals, lead-time, and other factors. These factors, however, constantly fluctuate, which may result in lost sales when inventory goes below required levels. In order to protect their businesses from lost sales retailers order additional inventory. This additional inventory is called safety stock.
On the other hand, ordering too much of extra stock (especially for products that don’t perform well) results in higher costs that may not be recovered. This is why finding optimal safety stock levels is critical. Calculating optimal safety stock is not a trivial task. Every SKU is affected by multiple factors including:
Retalon system calculates optimal safety stock based on:
The possible restrictions include: