Planning worked example

Batch Size with annual demand of 60,000 units: a worked example in planning

This scenario runs the batch size calculation on the strong side: annual demand of 60,000 units, with every other input held at its documented default. Use when balancing changeover cost against inventory cost.

The inputs for this scenario

  • Annual demand: 60,000 units (raised for this scenario; the documented default is 24,000)
  • Setup cost per run: 320 $ (unchanged)
  • Annual holding cost per unit: 1.8 $ (unchanged)
  • Working days per year: 250 days (unchanged)

Working through the calculation

  • Applying the documented formula (Economic batch size = √((2 × annual demand × setup cost) ÷ holding cost)) to the inputs above produces each figure below.
  • At this operating point the engine returns 4,619 units for recommended batch, the number this scenario is built around.
  • At this operating point the engine returns 12.99 runs for runs per year.
  • At this operating point the engine returns 19.25 days for days of supply.
  • At this operating point the engine returns 240 units / day for daily demand.

How this compares with the baseline

  • Against the tool's baseline example, where annual demand sits at 24,000 units and the headline result is 2,921 units, this scenario comes in 58.11% above the baseline at 4,619 units.
  • Use it when scheduling repetitive parts on shared equipment where each run requires a meaningful changeover and finished stock incurs a carrying cost. Treat this as a target state: the delta against the baseline quantifies what the improvement is worth before you commit to chasing it.

Results at a glance

  • Recommended batch: 4,619 units (headline result)
  • Runs per year: 12.99 runs
  • Days of supply: 19.25 days
  • Daily demand: 240 units / day

Run it with your numbers

  • Every input above is editable in the live Batch Size calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.