Formula for Calculating the Reorder Level Forecast Formulae

The reorder level is defined as the sum of the safety stock plus the requirement forecast within the replenishment lead time (see formula (17)).

A forecast was carried out on a monthly basis. A month has 30 days in the case of external procurement.

Safety stock		100
Forecast	1st subsequent period	200
	2nd subsequent periode	00
	3rd subsequent period	400
Replenishment lead time	40 days	0/30
		30/30 + 10/30

(an entire monthly requirement + a part of the the following month)

Reorder level = 100 + 30/30 * 200 + 10/30 * 300 = 400

• Formula for Calculating the Reorder Level Forecast...
• Formula for Calculating the Safety Stock Forecast ...
• Formula for Evaluating the Forecast
• Model: Second-Order Exponential Smoothing Forecast...
• General Formula for First-Order Exponential Smooth...
• Model: Constant Forecast Formulae
• Model: First-Order Exponential Smoothing Forecast ...
• Model: Weighted Moving Average Forecast Formulae
• Model: Moving Average Forecast Formulae
• Forecast Formulae Overview