Skip to main content

Inventory Health Guide

This guide explains what inventory health means in Synplex/Genie, how the core statuses work, and how to use them to make better stocking decisions.

Overview​

Inventory health is the combination of status, sales, and stock timing signals that show whether a product is in a good place, at risk of stockout, or tying up too much capital.
Health is calculated from on-hand stock, in-transit units, daily sales, lead time, and your global insight settings like running low and overstocked thresholds.

Core Health Statuses​

These are the main inventory health states you will see in the inventory table.

  • Healthy

    • Meaning: On-hand inventory sits between your running low and overstock thresholds, and the product is selling.
    • Action: Continue normal ordering; review occasionally but no urgent changes needed.

  • Running Low

    • Meaning: Stock has dropped below the running low threshold, based on daily sales, lead time, and buffer days.
    • Action: Add to the next purchase order or use the Buy Now / Reorder views to plan an order before you hit stockout.

  • Out of Stock

    • Meaning: On-hand quantity is zero or negative, so the product is not sellable right now.
    • Action: Place an urgent order, pause marketing, and consider alternatives or backorders for customers.

  • Overstocked

    • Meaning: On-hand inventory is above the overstock threshold, usually representing too many days of future sales on the shelf.
    • Action: Slow or pause reordering, consider promotions, and prioritize other products for budget and warehouse space.

  • Stock Gap

    • Meaning: You will run out of stock before the next purchase order arrives, creating a gap between stockout date and arrival date.
    • Action: Expedite an order, split shipments, or adjust demand (pricing/marketing) to close or shorten the gap.

  • No Sales

    • Meaning: The product had zero sales over your configured “no sales” period (for example last 30–90 days).
    • Action: Investigate demand, merchandising, and pricing; consider “Do Not Restock” or discontinuation if this persists.

  • New Product

    • Meaning: Recently created product or variant with limited sales history.
    • Action: Monitor closely; be cautious with reorders until daily sales stabilize.

How Health Is Calculated​

Inventory health is driven by a few key configuration choices in your Global Insights or Insight Settings.

  • Average Daily Sales window

    • Determines how many days of sales are used to calculate demand (for example 30 or 90 days).
    • Shorter periods react faster to trends; longer periods smooth out volatility.

  • Lead Time

    • Average days between placing a PO and receiving stock, globally or per supplier/product.
    • Used together with daily sales to know how much you will sell while waiting for new inventory.

  • Stock Buffer (Safety Stock)

    • Minimum days of stock you always want on hand on top of lead time.
    • Protects you from demand spikes or small supplier delays.

  • Running Low & Overstocked thresholds

    • Running Low: total days of cover at which the system warns you to reorder.
    • Overstocked: days of cover at which the product is considered too heavy, tying up capital.

Together these inputs determine status, days to order, estimated stockout, and “to buy” recommendations.

Reading Key Health Metrics​

When you look at the inventory table, a few columns give you a fast health snapshot.

  • Status

    • Text label like Healthy, Running Low, Out of Stock, Stock Gap, No Sales, or Overstocked.
    • Use it as your first-pass indicator for where to focus.

  • On Hand & In Transit

    • On Hand: what you can sell right now across all synced locations.
    • In Transit: units in active POs that are not yet received.

  • Daily Sales

    • Average units sold per day over your configured period.
    • Drives most forecasting and reorder calculations.

  • Days to Order

    • How many days you have left before you must place a new order to avoid stockout.
    • When this hits zero or negative, the product is already urgent.

  • Estimated Stockout Date

    • Calendar date when on-hand plus incoming units will reach zero, if you do nothing.
    • Combine this with your PO arrival dates to spot stock gaps.

  • Sales at Risk

    • Estimated revenue you might lose if a pending stockout or stock gap is not addressed.
    • Helps prioritize which products to fix first when budget is limited.

Workflows to Improve Inventory Health​

Use saved views and templates to turn these signals into repeatable workflows.

  • Daily

    • Check “Out of Stock” and “Stock Gap” views; create or update urgent POs.
    • Review “Running Low” for A-grade products so top performers never run out.

  • Weekly

    • Use “Reorder Next 7 Days” and “Reorder Next 30 Days” pre-built views to plan upcoming orders.
    • Clean up obviously wrong cases by fixing suppliers, lead times, or excluded products.

  • Monthly

    • Review “Overstocked” and “Deadstock” views to free up cash and storage.
    • Adjust global insights thresholds and grading if your statuses feel too aggressive or too relaxed.

  • Quarterly

    • Combine Grade (A/B/C) with Status to make portfolio decisions: discontinue, promote, or invest more per product.
    • Audit excluded products, bundles, and supplier mappings to keep the data model clean.