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Forecasted Stockout Date

Forecasted Stockout Date tells you exactly when a product will run out of inventory if you don't reorder.

Quick Answer

Simple Formula

Days Until Stockout = Current On-Hand Inventory ÷ Average Daily Sales

Example

  • On-hand: 100 units
  • Average daily sales: 5 units/day
  • Days until stockout: 100 ÷ 5 = 20 days

Why It Matters

✅ Tells you when to reorder
✅ Prevents surprise stockouts
✅ Helps you plan ahead
✅ Powers Synplex's Running Low alerts


The Real Problem: Stock Gaps

Understanding stockout dates becomes critical when combined with lead time.

Scenario 1: Good Planning (No Stock Gap)

TODAY
• On-hand: 100 units
• Daily sales: 5 units
• Stockout date: 20 days from now
• Lead time: 10 days
• Action: Reorder today

IN 10 DAYS
• New shipment arrives
• On-hand: 50 units (you've sold 50 more)

IN 20 DAYS
• You sell remaining 50 units
• New shipment is here
• Reorder again

RESULT: Never ran out ✅

Scenario 2: Problem Scenario (Stock Gap)

TODAY
• On-hand: 50 units
• Daily sales: 5 units
• Stockout date: 10 days from now
• Lead time: 15 days
• ACTION: Too late! Lead time is longer than days until stockout

IN 10 DAYS
• You run out of stock
• STOCKOUT! ❌

IN 15 DAYS
• New shipment finally arrives
• But you've lost sales during the 5-day gap

GAP: 15 - 10 = 5 DAYS of lost sales

This is called a Stock Gap in Synplex's status system.


How Synplex Calculates Stockout Date

The Calculation

Forecasted Stockout Date = 
Current On-Hand Inventory
÷
Average Daily Sales (from configured period)

Where Average Daily Sales comes from:

  • Your Insight Settings
  • Can use: 7-day, 30-day, 60-day, or 90-day average
  • Default: 30-day average (recommended)

Example Calculation

Product: Wireless Headphones

DataValue
On-hand300 units
Average daily sales (30-day)12 units/day
Days until stockout300 ÷ 12 = 25 days
Lead time45 days

Forecast: In 25 days, you'll run out if you don't reorder.

Problem: Lead time is 45 days. If you wait until day 25 to order, the shipment arrives on day 70 (45 days later). You'll be out of stock for 25 days (days 25-70).

Solution: Reorder TODAY so shipment arrives by day 45.


Synplex Recalculates Daily

The forecast updates every single day as sales happen:

Day 1: 300 units ÷ 12/day = 25 days until stockout

Day 2: 288 units ÷ 12/day = 24 days until stockout (you sold 12)

Day 3: 276 units ÷ 12/day = 23 days until stockout (you sold 12 more)

...continuing...

Day 25: 0 units ÷ 12/day = STOCKOUT!

The date updates automatically as sales happen. You never have to calculate manually.


The Three Stockout Scenarios

Scenario 1: Safe (No Stock Gap)

Product: Wireless Mouse
Current status:

  • On-hand: 50 units
  • Daily sales: 5 units/day
  • Stockout date: 50 ÷ 5 = 10 days from now
  • Lead time: 10 days
  • Gap: 0 days ✅

Analysis: Lead time (10) = Stockout date (10)

Action: Reorder today, shipment arrives just in time

Result: No stock gap, inventory continuous


Scenario 2: Tight Planning (Approaching Problem)

Product: Winter Boots
Current status:

  • On-hand: 50 units
  • Daily sales: 5 units/day
  • Stockout date: 50 ÷ 5 = 10 days from now
  • Lead time: 15 days
  • Gap: 15 - 10 = 5-day stock gap ⚠️

Analysis: Lead time (15) > Stockout date (10)

Problem: If you reorder today, shipment arrives day 15, but you run out on day 10. You'll have a 5-day stock gap.

Action: REORDER IMMEDIATELY or you'll have a stock gap!

Result: With urgency, you might prevent the gap


Scenario 3: Stock Gap Risk (Out of Stock)

Product: Winter Boots (continued)
What actually happened:

  • Day 10: You hit zero, STOCKOUT! ❌
  • Day 15: New shipment finally arrives
  • Days 10-15: 5 days of lost sales

Financial impact:

  • Lost sales: 5 units/day × 5 days = 25 units
  • Lost revenue: 25 units × $80 profit = $2,000 lost

Root cause: Didn't reorder early enough

Prevention: Monitor forecast and reorder before stockout date


How to Avoid Stock Gaps

Formula to Avoid Stock Gaps

Reorder Point = Lead Time × Average Daily Sales

Example

Product Data:

  • Lead time: 30 days
  • Average daily sales: 5 units/day

Calculation:

  • Reorder point = 30 × 5 = 150 units

Meaning: When on-hand drops to 150 units, reorder.

Why? Because you need 150 units to last 30 days. If you wait until you have less than 150, you'll run out before new stock arrives.

Step-by-Step

  1. Calculate: Reorder point = Lead time × Average daily sales
  2. Monitor: Check on-hand quantity daily
  3. Reorder: When on-hand ≤ reorder point, place PO
  4. Track: When new shipment arrives
  5. Repeat: Cycle continues

Using Forecasted Stockout in Synplex

Stockout Risk Report

Synplex shows all products approaching stockout:

Products at Risk (Next 30 Days):
├── Product A: Stockout in 12 days
├── Product B: Stockout in 8 days ⚠️
├── Product C: Stockout in 3 days 🚨 URGENT!
└── Product D: Stockout in 25 days

Recommended action: Create purchase orders for the urgent ones.

Pre-Stockout Daily Sales Insights

Synplex tracks sales velocity before stockout:

Question: If a product consistently hits stockout at 5/day, what's the daily sales right before stockout?

Insight: Shows you when product was still in stock, how fast was it selling?

Use case: If product consistently does 5/day, you know to plan your lead time and safety stock to support that velocity.


Common Stockout Mistakes

Mistake 1: Ignoring Lead Time When Planning

Wrong: "I have 15 days until stockout, so I'll reorder then"

Right: "I have 15 days until stockout, but lead time is 20 days, so I need to reorder NOW"

Fix: Always subtract lead time from stockout date before deciding when to reorder.

Formula: Reorder when = Stockout date − Lead time

Mistake 2: Not Adjusting for Sales Seasonality

Wrong: Using 30-day average for highly seasonal products

Problem: In off-season, 30-day average includes high-sales days that won't repeat. This underestimates stockout risk in low seasons.

Fix: For seasonal products, use 7-day average or adjust settings monthly.

Mistake 3: Assuming Linear Sales

Wrong: "If I sell 5/day on average, I'll sell exactly 5 every day"

Reality: Sales vary by day of week, promotions, seasonality, etc.

Fix: Build in extra safety stock for products with variable demand.


Real-World Example: Planning Purchase Orders

Product: Popular T-Shirt (Grade A)

MetricValue
Current on-hand200 units
Average daily sales20 units/day
Forecasted stockout200 ÷ 20 = 10 days
Lead time from supplier30 days
Safety stock desired15 days

Calculation:

  • Reorder point = (Lead time × ADS) + Safety stock
  • Reorder point = (30 × 20) + (15 × 20) = 900 units

Decision:

  • Current on-hand: 200 units
  • Need to be at: 900 units to avoid stock gap
  • Action: Reorder 700 units TODAY

Timeline:

  • Day 0: Place order for 700 units
  • Day 30: Shipment arrives (900 units total)
  • Day 45: All 900 units sold
  • Day 75: New shipment arrives again

Result: Continuous availability, no stockouts, Grade A product always in stock ✅


FAQ

Q: Can I change my average daily sales calculation period?

A: Yes! Go to Settings → Insight Settings → Average Daily Sales. Choose 7, 30, 60, or 90 days. Default is 30 days (recommended).

Q: What if my sales are very spiky (high variance)?

A: Use a longer period (60 or 90 days) to smooth the data. Or increase safety stock to buffer against volatility.

Q: How often does Synplex recalculate stockout dates?

A: Daily, at midnight. Also recalculates whenever you manually sync data.

Q: Can I export stockout forecasts?

A: Yes, use Synplex Reports → Stockout Risk Report. Shows all products with forecasted stockout dates.

Q: Should I reorder when I hit "Running Low" status?

A: Yes! Running Low status is based on your configured reorder point, which accounts for lead time and safety stock. When you see Running Low, it's time to order.


Next Steps

  1. Monitor your stockout forecasts — Check Synplex reports daily
  2. Calculate reorder points — For each Grade (A, B, C)
  3. Set up alerts — Get notified when products approach stockout
  4. Create purchase orders — When stockout is imminent
  5. Track results — Measure if you're preventing stock gaps


Questions?

Contact support@synplex.io or check related concept guides.