Procurement
MOQ Planner
Estimate the cost and inventory impact of a supplier minimum order quantity using editable demand, unit cost and order assumptions.
Note: Assumes evenly consumed stock and that each replenishment is exactly the entered MOQ/order size. If MOQ is only a minimum and you may order larger lots, the order count and holding-cost estimate will differ.
Formula
Assumes each replenishment is exactly the entered MOQ/order size. Theoretical orders = annual demand ÷ MOQ; whole orders round up to cover demand. Average cycle stock = MOQ ÷ 2. Holding cost = average cycle stock × unit cost × annual holding rate; surplus from rounding, safety stock and price breaks are excluded.
FAQs
MOQ high?
Trial order or split deliveries.