Stock Control
The process of managing inventory levels to ensure the business has enough stock to meet demand while minimising holding...
Formula
Reorder Level = Lead Time × Average Daily Usage
Real World
Amazon uses real-time stock control algorithms across its fulfilment centres, automatically triggering reorders when stock hits pre-set levels to prevent stockouts during peak periods like Black Friday.
Exam Focus
Draw and label a stock control diagram correctly — buffer stock, reorder level, and lead time are frequently tested for method marks.
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