Smart Replenishment and Dynamic Reorder Points

Last Updated: May 09, 2018 06:20PM PDT
With Stitch, you can set dynamic reorder points—based on sales velocity, supplier lead time, and your desired safety stock—to make smarter, faster purchasing decisions.

Note: This feature is available only on certain pricing plans. If you’re unsure whether your plan includes this feature, please contact Support.

Dynamic Reorder Dates

For each variant, Stitch suggests reorder dates using the following formula:


Reorder Date = Stockout + Awaiting - Lead - Safety

Variable Description Source
Stockout Days of available inventory (available units ÷ sales velocity) Auto-Calculated
Awaiting Days of supply expected on open purchase orders (awaiting units ÷ sales velocity) Auto-Calculated
Lead Days expected between opening a PO, submitting to supplier, and receiving stock User-Defined
Safety The minimum number of days of inventory (safety stock) you wish to maintain User-Defined

Use these reorder dates to time when to open a purchase order in Stitch—either manually or through the automated purchasing option.

Note: Units in transit (from one warehouse to another) aren't factored into the dynamic reordering formula.

Lead and Safety Values

Lead and Safety are user-defined values set for each supplier (and warehouse, where applicable). Set these individually or in bulk:

Individual

Go to the Variant Detail page for a specific variant, then click into the Suppliers tab:

Set lead time and safety stock for each supplier and warehouse that you might purchase to. Click the (ellipsis button) to edit lead time and safety stock for each supplier:

To auto-generate a draft purchase order on your reorder date, toggle the Automate switch to On.

Bulk

To set lead time and safety stock in bulk, download the Supplier Association CSV via Inventory > Actions > Supplier Association CSV.

Note: The Automate setting is only available in app.

Smart Replenishment Alerts

When Automate is on, Stitch can send reordering suggestions via email. Admins and account owners can set delivery preferences via Settings > Users > Notification Settings:

Stitch will send an email alert on whichever days you specify, as long as at least one variant has reached its reorder date.

The email includes a link to create a draft purchase order. If other variants from this supplier are within seven days of their reorder date, you'll have an option to draft a PO with those items, as well.

If you already have a draft purchase order with this supplier, you can add the line item(s) to the draft:

For general tips on managing purchase orders in Stitch, see our Purchase Orders Overview.