EOQ

Whitepaper: Unravelling the secret of EOQ

The EOQ formula from theory to practice in 7 steps

This paper discusses an indispensable inventory management figure: the economic order quantity (EOQ). Your ordering quantities highly affect inventory height. Since they also influence the number of replenishments, they are an important influencer of your day-to-day supply chain operations as well. Therefore, the determination of the order quantity of your product range should be a deliberate process. You might not be surprised that in practice the order quantity is not determined by your business strategy as it should be, but dictated to you by your suppliers or even worse (and more often the case); nobody knows why that number is there.

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