RightChain Turns | Inventory Turn and Fill Rate Optimization

Leadtime Safety Stock = Average Shipped per Day * (Maximum In-Transit Time - Average In-Transit Time)

Contents Leadtime Safety Stock

Example

• Shipping 200 units per day • Maximum In-Transit Time = 5 days • Average In-Transit Time = 2 days • Leadtime Safety Stock = 200 units/day * (5 days - 2 days) = 600 units