Food & Beverage Manufacturing worked example

Finished Goods Days of Supply with average finished-goods demand of 1,600 units / day: a worked example

This worked example runs the finished goods days of supply numbers for a tougher week than the baseline: average finished-goods demand of 1,600 units / day instead of the typical 3,200 units / day. Estimate finished-goods inventory requirement from daily demand, replenishment lead time, and safety stock.

The inputs for this scenario

  • Average finished-goods demand: 1,600 units / day (the input this scenario stresses; the baseline uses 3,200)
  • Replenishment or production lead time: 6 days (held at the documented default)
  • Finished-goods safety stock: 5,000 units (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Finished Goods Days of Supply cycle stock = average finished-goods demand × replenishment or production lead time.
  • Protected days of supply works out to 0.05 days at these inputs, and this is the headline figure for the scenario.
  • Unprotected days works out to 267 days at these inputs.
  • Inventory works out to 1,600 pieces at these inputs.
  • Daily usage works out to 6 pieces / day at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where average finished-goods demand sits at 3,200 units / day and the headline result is 0.11 days, this scenario comes in 50% below the baseline at 0.05 days.
  • Use it when setting reorder points, sizing safety stock for a SKU, or reviewing whether a slow-moving food or beverage item is over- or under-covered ahead of a production run. A result at this level usually justifies acting on the stressed input before touching anything else, because every other figure in the table is downstream of it.

Results at a glance

  • Protected days of supply: 0.05 days (headline result)
  • Unprotected days: 267 days
  • Inventory: 1,600 pieces
  • Daily usage: 6 pieces / day

Run it with your numbers

  • To rerun this with your own numbers, open the live Finished Goods Days of Supply calculator, set average finished-goods demand to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.