Reorder Levels and Reorder Quantity

It is important that a business maintains sufficient stocks to meet customer needs, at any point of time. This also means that it is important not to accumulate stocks that don't sell. Reorder level is the quantity of stock beyond which the stocks have to be replenished or By defining the Reorder levels and Reorder Quantities in Tally.ERP 9, you can ensure that you never run out of stocks.

To decide on reorder levels for stock items consider the following:

The lead-time for suppliers to deliver the stock.

The delivery time specified by the customer.

The stock-in-hand to satisfy existing orders.

In simple mode, Tally.ERP 9 accepts the quantities that you want to specify. In advanced mode, it considers the previous consumption patterns to suggest reorder levels. However, you can define your own reorder levels. You can also specify the minimum quantity of the item to be ordered, either in simple or in advanced mode.

The purpose of specifying reorder levels is to obtain a report that indicates the quantity of a stock item that you must order.

Note: The option Reorder Levels is displayed in Inventory Info. only if Enable purchase order processing ? is enabled in F11: Inventory Features .

See also

Specifying Simple Reorder Level and Minimum Order Quantity

Specifying Advanced Reorder Levels and Minimum Order Quantity

Reorder Status and Quantities to Order