Reorder point is the inventory level at which a replenishment order should be placed. In ecommerce operations, it ensures new inventory arrives before existing stock is depleted.
Reorder point is sometimes referred to as reorder trigger; this article uses “reorder point” consistently.
1. What it is (Definition)
Weeks of supply expresses inventory levels in terms of time rather than units. It answers how many weeks inventory can support sales if demand continues as expected.
This time-based view makes inventory risk easier to understand and communicate.
2. Who it’s forWeeks of supply is widely used by ecommerce brands and aggregators to assess inventory health.
Shopify-based teams use it to align purchasing with sales velocity.
Amazon and Walmart sellers use it to manage fulfillment inventory coverage.
Multichannel teams use it to compare coverage across channels and locations.
3. How it worksCurrent and inbound inventory is divided by expected weekly demand to calculate coverage.
Low weeks of supply indicate stockout risk, while high coverage signals excess.
Weeks of supply is reviewed regularly and used alongside reorder points.
4. Key metricsInventory turnover is inversely related to weeks of supply.
Sell-through improves when weeks of supply is aligned with demand.
Fill rate drops when weeks of supply is too low.
Weeks of supply itself is the core coverage metric.
5. FAQIs weeks of supply better than units on hand?
It is more intuitive for risk assessment.
How often should weeks of supply be reviewed?
Weekly or monthly, depending on velocity.
Does weeks of supply include inbound inventory?
Often yes, when assessing future coverage.
Can weeks of supply vary by channel?
Yes, due to different demand rates.
Is weeks of supply a planning or execution metric?
It is primarily a planning and monitoring metric.