CMMS, EAM & Spare Parts Management worked example
Stockout Downtime Exposure at 69% stockout scenarios likely to affect production: a worked example
What does the result look like when stockout scenarios likely to affect production reaches 69%? The full calculation is worked below with real intermediate numbers. a maintenance or asset-management team needs to justify critical spares, supplier agreements, or reorder point changes using downtime exposure for a stockout risk scenario
The inputs for this scenario
- Expected downtime hours from stockouts: 34 downtime hr (unchanged)
- Downtime cost per hour: 12,500 $ / hr (unchanged)
- Stockout scenarios likely to affect production: 69 % (raised for this scenario; the documented default is 60)
- Fixed expedite, freight, and recovery cost: 18,000 $ (unchanged)
Working through the calculation
- Applying the documented formula (Variable stockout downtime exposure = expected downtime hours from stockouts × downtime cost per hour × stockout scenarios likely to affect production) to the inputs above produces each figure below.
- At this operating point the engine returns 311,250 $ for total stockout downtime exposure, the number this scenario is built around.
- At this operating point the engine returns 9,154 $ / piece for downtime cost per hour.
- At this operating point the engine returns 293,250 $ for variable stockout downtime exposure.
- At this operating point the engine returns 18,000 $ for fixed expedite, freight, and recovery cost.
How this compares with the baseline
- Against the tool's baseline example, where stockout scenarios likely to affect production sits at 60% and the headline result is 273,000 $, this scenario comes in 14.01% above the baseline at 311,250 $.
- A figure at this level is achievable when stockout scenarios likely to affect production is genuinely sustained, not just peaked for a shift. It models expected value, not worst case — a single catastrophic failure can exceed this figure, so pair it with the maximum credible downtime for true risk planning.
Results at a glance
- Total stockout downtime exposure: 311,250 $ (headline result)
- downtime cost per hour: 9,154 $ / piece
- Variable stockout downtime exposure: 293,250 $
- fixed expedite, freight, and recovery cost: 18,000 $
Run it with your numbers
- Every input above is editable in the live Stockout Downtime Exposure calculator, which recalculates instantly and can be shared with the inputs intact.
Last reviewed 2026-05-12.