Calculate the Right Inventory Buffer
Enter your demand pattern, lead time, and target service level to determine how much safety stock to carry. Balance stockout risk against inventory holding costs.
Safety Stock
88units
Avg Inventory
88units
Stockout Risk Per Replenishment Cycle
5.0%
Days of Safety
0.9days
Avg Cycle Stock
0units
Lead Time Demand
700units
Z-Score
1.65
SS = Z x σd x √L
This is the demand-variability-only form of the safety stock formula. It assumes lead time is constant, so the only uncertainty it buffers against is day-to-day demand variation. If your supplier lead time also swings, this understates the buffer you need - use a combined formula that adds a lead-time variability term (Z x avg demand x σ of lead time) on top.
SS = Z × σd × √L
Let WorkCell Calculate Safety Stock for Every SKU.
WorkCell analyzes demand variability and lead times in real time - so your inventory buffers stay right-sized without manual spreadsheet work.