What is Reorder Quantity Formula?
What is Reorder Quantity? Reorder Quantity (ROQ) is the inventory amount needed when stock reaches a certain threshold, balancing demand, average lead time, and safety stock. The Reorder Quantity...
What is Inventory Shrinkage?
What is Inventory Shrinkage? Inventory shrinkage occurs when the physical stock on hand is less than what’s recorded in the inventory system. This inventory shrinkage definition is a crucial...
What is Logistics Management?
What is Logistics Management? Logistics Management is the strategic coordination of goods movement and storage, optimising resources across sourcing, planning, transportation, and inventory. The logistics management meaning highlights its...
What is Economic Order Quantity?
What is Economic Order Quantity? Economic Order Quantity (EOQ) defines the ideal order quantity that minimises the costs associated with ordering, receiving, and holding inventory. It assumes constant demand...
What is Dimensional Weight?
What is Dimensional Weight? The Dimensional Weight (DIM Weight) meaning describes calculating shipping and logistics costs using a package’s dimensions instead of its actual weight. This approach ensures fair...
What is Inventory Audit?
What is an Inventory Audit? An Inventory Audit is a vital inventory management process verifying physical stock against financial records through a physical count. This ensures data consistency and...
