Planning calculator

Batch Size Calculator

Find a practical batch size that balances setup cost with the cost of carrying inventory.

What this calculator does

  • Estimate an economic batch size using setup cost, holding cost, and demand.
  • Use when balancing changeover cost against inventory cost.
  • Estimate an economic batch size using setup cost, holding cost, and demand.

Formula used

  • Economic batch size = √((2 × annual demand × setup cost) ÷ holding cost)
  • Runs per year = annual demand ÷ batch size
  • Days of supply = batch size ÷ daily demand

Inputs explained

  • Annual demand: undefined
  • Setup cost per run: undefined
  • Annual holding cost per unit: undefined
  • Working days per year: undefined

How to use the result

  • Use when balancing changeover cost against inventory cost.
  • This is a planning calculator. Validate assumptions against your process data before using the result as a final quote, schedule, or engineering decision.

Common questions

  • Which inputs usually drive the batch size result? annual demand, setup cost per run, annual holding cost per unit, and working days per year usually have the biggest effect. When one of those assumptions changes, rerun the calculator and compare the new units result before updating the plan.
  • What does the batch size calculator do? Estimate an economic batch size using setup cost, holding cost, and demand.
  • What inputs do I need for the batch size calculator? You need annual demand, setup cost per run, annual holding cost per unit, and working days per year. Use measured values from your line, quote package, supplier data, or current production plan whenever possible.
  • How should I interpret the batch size result? Treat the units output as a planning estimate for planning work. Compare it against process history, quoted assumptions, and operating limits before making final decisions.

Last reviewed 2026-05-12.