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Dynamic Min/Max Inventory Based On Sales

Replaces static inventory thresholds with dynamic min/max levels calculated from the past week's sales, using configurable multipliers and automatic updates via scheduled jobs for smarter reordering
June 26, 2025 by
Dynamic Min/Max Inventory Based On Sales
Silverdale Technology, Somroo Hassaan
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Traditional inventory setups rely on static minimum and maximum quantity thresholds for product reordering. However, these values often become outdated and fail to respond to real-time demand changes.

The Dynamic Min/Max Inventory Based on Sales feature introduces data-driven inventory control by dynamically adjusting min/max quantities based on sales data from the previous week.

Functionality:

  • Weekly Sales-Based Calculation:
    • Uses confirmed sale order quantities from the past 7 days as a baseline for dynamic threshold computation.
  • Configurable Multipliers:
    • Set multipliers for both minimum and maximum levels (e.g., min = 1.5 × avg sales, max = 3 × avg sales).
  • Automated via Scheduled Job:
    • A cron job runs regularly to update the min/max inventory levels across all relevant products.
  • Intelligent Reordering Rules:
    • Automatically updates reordering rules for each product based on the new thresholds.

Example:

  • Sales Last Week: 20 units of Product X
  • Configured Multipliers: Min = 2×, Max = 4×
  • Result:
    • New Min Qty = 40 units
    • New Max Qty = 80 units

Benefits:

  • Smarter Stock Control:
    • Adjusts to actual sales trends instead of relying on outdated estimates.
  • Real-Time Responsiveness:
    • Prevents both stockouts and overstock based on demand variability.
  • Zero Manual Calculation:
    • Reduces the burden on inventory managers and improves accuracy.

Conclusion:

The Dynamic Min/Max Inventory Based on Sales feature brings intelligence to your stock control by aligning replenishment thresholds with real sales performance. By automatically recalculating reordering rules based on recent sales trends, your inventory stays lean, accurate, and responsive to demand.

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