Nutraceuticals & Functional Foods worked example

Inventory Coverage with ingredient inventory on hand of 3,000 units: a worked example in nutraceuticals & functional foods

This scenario runs the inventory coverage calculation on the strong side: ingredient inventory on hand of 3,000 units, with every other input held at its documented default. An ingredient buyer or planner needs to know how many days an active or finished good will last so reorders happen before stockout.

The inputs for this scenario

  • Ingredient inventory on hand: 3,000 units (raised for this scenario; the documented default is 1,200)
  • Average daily ingredient usage: 85 units / day (unchanged)
  • Safety factor: 1.1 x (unchanged)

Working through the calculation

  • Applying the documented formula (Days of supply before safety factor = ingredient inventory on hand รท daily usage) to the inputs above produces each figure below.
  • At this operating point the engine returns 32.09 days for protected days of supply, the number this scenario is built around.
  • At this operating point the engine returns 35.29 days for days of supply before safety factor.
  • At this operating point the engine returns 3,000 units for ingredient inventory on hand.
  • At this operating point the engine returns 85 units / day for daily usage.

How this compares with the baseline

  • Against the tool's baseline example, where ingredient inventory on hand sits at 1,200 units and the headline result is 12.83 days, this scenario comes in 150% above the baseline at 32.09 days.
  • Use it during weekly purchasing reviews or before committing a production schedule, to confirm each key ingredient covers the supplier lead time plus a buffer. 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

  • Protected days of supply: 32.09 days (headline result)
  • Days of supply before safety factor: 35.29 days
  • Ingredient inventory on hand: 3,000 units
  • Daily usage: 85 units / day

Run it with your numbers

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

Last reviewed 2026-05-12.