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Automotive parts inventory management software

Reorder point: order when the shelf hits this
21
Units used per day
1.7
Units used while the order is in transit
12

Every figure on this page is computed from the inputs entered, by the method stated below it. Binstockly publishes no catalogue, no interchange table, no fitment data and no target margin: the usage, the lead times, the costs and the prices are yours, and the defaults are a worked example to replace with your own figures.

Automotive parts inventory management software is bought to answer one question the shelf cannot answer on its own: when to order, and how much. Everything else it does is in service of that. The arithmetic is not complicated, which is exactly why it is worth checking that a system does it the way you would: units sold per week, divided by seven, multiplied by the supplier's lead time in days, plus whatever safety cover you have decided a late delivery is worth. On the worked example, 12 units a week with a seven day lead and five days of cover puts the reorder point at 21 units, and a shelf holding 30 has 17 days of cover and 9 units of headroom. Software that sets reorder points from a fixed minimum rather than from usage and lead time will over-stock your slow lines and run your fast ones out, which is the single most common way a shelf ends up both too full and too empty. This guide walks what to check before you buy.

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Check how it sets the reorder point

Ask whether the point comes from usage and lead time or from a number somebody typed once. The free reorder point sheet on this site shows the arithmetic in four inputs, so you can compare its answer with the software's on the same part.

Check what it does when the lead time moves

A supplier slipping from seven days to fourteen doubles the transit demand on every line they supply. A system that stores lead time per supplier can re-point the whole range; one that stores a fixed minimum per part cannot, and you will find out during a shortage.

Check that the on-hand figure is trustworthy

Reorder points are computed from stock levels, so accuracy comes first. 87% accuracy by line on the worked example means roughly one line in eight is ordering from a wrong number. Count before you automate.

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Automotive parts inventory management software: common questions

Should the software order automatically? That is your call and it depends on how much you trust the on-hand figure. The honest sequence is to get accuracy up first, watch the suggested orders for a cycle, and only then let anything place them.

How much safety cover is right? It is a judgement about your supplier's reliability and what a back order costs you in goodwill, so the sheet asks rather than assuming. This site publishes no rule and no benchmark.

What about parts that sell irregularly? Reorder points assume roughly steady usage, so for a line that sells four in a week then nothing for two months the figure is an average that will over-stock you. Those lines belong on the dead stock sheet instead.

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