Cost calculator · illustrative
Show me the math.
With my numbers.
No black box. Every input, every rate and every formula is on the page. Change anything, the calculation updates line by line.
Assumptions Edit every rate +Close −
- Stockout cost annual$82.0K
- Excess carrying cost annual$96.0K
- Expedite freight annual$36.0K
- Inventory above target value held$480.0K
On your inputs, these three costs add up to $214.0K a year. This page does not estimate how much of it anyone can remove.
The calculation
Every line, every rate- (1)Excess inventory value$8,000,000 × 6%$480,000
- (2)Excess carrying cost$480,000 × 20%$96,000
- (3)Annual cost, your inputs$82,000 + $96,000 + $36,000$214,000
- (4)Inventory in the pipeline$30,000,000 × 35 ÷ 365$2,876,712
Inventory above target and inventory in the pipeline are values held, not annual costs, so they are not added to (3). This calculator is illustrative and only adds up the figures you enter. The supply chain audit shows the inventory and order value exposed and does not estimate savings.
Supply chain audit
See what is exposed in your own data.
A 20-minute call and two file exports: stock by item and open orders. You see the inventory and order value exposed. No integration, no savings estimate, and an NDA if you need one.